Latest SGD/MYR Exchange Rates

Note:

1. For Android user, please use Chrome, Firefox browser in order to view the page correctly. 
2. Click/Tap on the money changer's name will take you to its location on Google Map.

SGD/MYR rate from Bank

Disclaimer:
The banks reserve the absolute right and discretion to change the rates below without any notice or reason whatsoever.

Note:
1. The Cash rate refers to cash withdrawal using the UOB/Maybank ATM card from ATM machine of respective bank in Malaysia
2. The TT rate refers to telegraphic transfer from CIMB Singapore account to CIMB Malaysia account via Internet Banking

SGD/MYR rate from forums

Disclaimer:
The rates displayed below is obtained from various forums. Therefore, no guarantees as to its accuracy.
Click here to share the rate.

Ringgit to be weak for next few months

Due to the price decline of Brent crude, majority economists and analysts foresee that Ringgit will be remain weak for new few months.

Source: Ringgit Falls to Five-Year Low as Oil Slump Cuts Revenue Outlook 

Malaysia’s ringgit fell to the weakest level in almost five years on concern a slide in oil will make it harder for the government to achieve its fiscal deficit target.

The currency depreciated 0.4 percent to 3.4400 per dollar as of 9:57 a.m. in Kuala Lumpur, according to data compiled by Bloomberg. It earlier dropped to 3.4455, the lowest since February 2010. The price of Brent crude has declined 38 percent from its June high, cutting revenue for oil exporter Malaysia.

Credit Suisse Group AG lowered its three-month ringgit forecast today to 3.49 per dollar from 3.38, and said the central bank may be willing to accept currency weakness to boost exports and offset the impact on the economy from the drop in oil. Prime Minister Najib Razak is seeking to cut the budget deficit to 3 percent of gross domestic product next year from 3.5 percent.

Ringgit weakness is a “reflection of the absolute collapse in oil,” said Michael Every, Hong Kong-based head of Asia Pacific financial markets research at Rabobank International. “The government is already under fiscal pressure.”

Brent dropped below $70 a barrel last week for the first time since 2010 after OPEC’s decision not to cut production to shore up prices. The contracts traded at $71.17 today after falling 2.8 percent overnight.

Malaysia will be the sole loser among Asia’s emerging markets from the decline in crude and the nation may miss its 2015 fiscal deficit target, according to Bank of America Merrill Lynch. A 10 percent drop in prices will reduce the nation’s growth by 20 basis points, economists including Singapore-based Chua Hak Bin wrote in a Dec. 1 report.

One-month implied volatility, a measure of the ringgit’s risk, rose 29 basis points to 8.63 percent, data compiled by Bloomberg show. The gauge has climbed 130 basis points, or 1.3 percentage points, so far this week.

Malaysia’s government bonds were little changed, with the yield on 10-year notes at 3.89 percent, data compiled by Bloomberg show.

Source: ‘Ringgit to be weak for few months’ 

KUALA LUMPUR: The ringgit will experience fluctuations over the next few months until the global crude oil prices stabilise, said research houses.

BIMB Securities economist Imran Nurginias Ibrahim expects the weakness to continue for the next two to three months.

“We’re looking at RM3.45 to the US dollar in the near term with support at RM3.40 to RM3.49.”

The ringgit closed at RM3.4260 against the US dollar yesterday, compared with RM3.4320 on Monday.

The beating on Monday was due to worries over the impact of the soft oil prices, Petroliam Nasional Bhd’s (Petronas) decision to cut capital expenditure and its impact on the country’s current account and expenditure, said Imran.

The research house has projected the oil to trade at US$75 (RM256.5) per barrel in the first half of next year.

With the United States Federal Reserve poised to start its interest rate hiking cycle, the greenback will only strengthen further, placing Asian currencies at a disadvantage over the next few years, said another research house.

Hong Leong Investment Bank expects to see further depreciation in the ringgit.

In its research note, it said the technical outlook for the ringgit remains weak as all indicators are pointing to strong negative pressure.

“Reading from all indicators showed that upside momentum is still picking up but at slower velocity.”

It expects the ringgit to test a high of RM3.45 against the US dollar, with the next resistance levels at RM3.52 and RM3.60.

UBS Investment Bank, in its latest economic outlook report, said if oil were to fall below US$73 per barrel, the “offset to lower oil-related revenues would disappear for Malaysia, placing pressure on the fiscal target”.

Petronas’ ability to adjust its dividend payout ratio could mitigate the impact on the Federal Government’s accounts.

Disappointing corporate earnings last month as well as the weak market sentiment mean it is a challenge to meet the FTSE Bursa Malaysia KLCI target this year, according to Affin Hwang Capital.

A weak ringgit compounds the difficulty.

Among the key risks are that consumption will be affected by higher inflation and the government’s inability to rein in its fiscal deficit.

Concerns over lower oil tax revenues, which may lead to a weak fiscal deficit next year, had led the ringgit to fall versus the US dollar by 1.5 per cent on Monday, which followed a three per cent drop in the previous trading day.

“On the positive side, lower oil prices are generally good for economic growth,” it said.

Affin Hwang listed the main beneficiaries of a weak ringgit as the rubber glove manufacturers (especially Top Glove and Supermax).

In the oil and gas sector, Petronas Chemicals Bhd, SapuraKencana Petroleum Bhd and Bumi Armada Bhd stand to benefit from a stronger US dollar due to their US dollar-denominated businesses, although Perdana Petroleum Bhd and Alam Maritim Resources Bhd, in contrast, are expected to suffer because they earn ringgit revenues against US dollar costs.

On the back of US dollar borrowings, IOI Corp Bhd and Genting Plantations Bhd (in the plantation sector) potentially have market-to-market forex losses.

Wonder why ringgit's getting crush???

Source: http://www.cnbc.com/id/100979900

The Malaysian ringgit plunged to its lowest level in over three years on Thursday amid the brutal sell-off across emerging market assets, and strategists say the pain may not be over for the currency.

The ringgit has declined 10 percent against the U.S. dollar since late-May on concerns over a potential capital flight from the country's government bond market in favor of rising U.S. Treasury yields.

As illustrated in the chart, foreigners hold almost 50 percent of Malaysia's government bonds, an exceptionally high level compared with other emerging markets in the region, placing the currency in a precarious position.

Malaysia's deteriorating economic fundamentals - seen in surging levels of household debt - and the risk of a credit rating downgrade exacerbates the risk of outflows from the country's debt market, say experts.

"In Malaysia, the key risk to capital flows emanates from the large foreigners' holding of bonds. The fiscal concerns and the risk of Fitch downgrading Malaysia's rating could trigger net outflows from the bond market, hitting the currency," Santitarn Sathirathai, research analyst at Credit Suisse wrote in a recent note this week.

In July, Fitch Ratings cut the nation's credit outlook to negative from stable, citing a lack of budgetary reform and rising debt levels.

Consumer indebtedness rose to 80 percent of gross domestic product (GDP) at the end of 2012, an increase of 20 percent over the last five years, according to RBS.

"The debt servicing ratio or the proportion of household income used for interest and debt repayments is close to 44 percent. This poses a headwind to growth and high risk of financial stress if interest rates rise," Sanjay Mathur, chief Asia economist at RBS wrote in a report called 'The case for a weaker ringgit' this week.

Despite the headwinds, Barclays believes the potential capital flight risk by foreign investors from government debt has been largely priced into the ringgit moves.

"We expect further ringgit depreciation in the near term, as investors remain focused on the potential for bond outflows. Further ahead, the ringgit is likely to be supported by Malaysia's robust domestic growth, large current account surplus and manageable short-term external debt," Hamish Pepper, currency strategist at Barclays wrote in a report note.

Malaysia's current account surplus fell to 2.6 billion ringgit ($785 million) in the second quarter from 8.7 billion ringgit in the first three months, as a result of plunging exports and robust imports.

Barclays expects the currency to appreciate to 3.25 against the U.S. dollar over the next three months, from 3.31 currently.

UOB Cash Withdrawal in Malaysia

With SGD/MYR in all time high, people are searching around to get the best exchange rate. Due to Ringgit shortage or whatever reason, the SGD/MYR exchange rate offered by local money changers are less compelling, with huge spread relative to the SGD/MYR spot rate.

My previous post has discussed about TT using CIMB accounts without any charges. The problem is it is valid for online transfer and you need to wait at least one week to obtain the token. Besides that, you need to have the CIMB account in Malaysia as well. As Malaysia banking service only available during weekdays, this make it really hard for some people to enjoy this convenience and competitive exchange rate.

Recently I came across from Cari forum that the forumers are discussing cash withdrawal from UOB ATM in Malaysia.

http://www.uob.com.sg/personal/ebanking/atm/atm-regional_faq.html
Understand from the site above,
1. There is no charges for cash withdrawal from UOB ATM in Malaysia. All you need to do is to enable your card for the oversea cash withdrawal.
2. You do not need to have UOB account in Malaysia.
3. The same withdrawal limit applies overseas as when you use your card in Singapore.
4. This is cash withdrawal, not TT.

I have called customer service of UOB Singapore and UOB Malaysia, and check on the exchange rate. The desired exchange rate can be found at the site below, and check
1 SINGAPORE DOLLAR vs Bank Buying(RM) field.
Banknotes

Ringgit Falls Most in 3 Weeks, Bonds Drop on Fitch Outlook Cut

Source: http://www.bloomberg.com/news/2013-07-31/ringgit-falls-most-in-3-weeks-bonds-drop-on-fitch-outlook-cut.html

Malaysia’s ringgit declined the most in three weeks and bonds extended losses after Fitch Ratings cut the nation’s credit outlook to negative from stable, citing rising debt levels and a lack of budgetary reform.

The currency dropped to a three-year low and 10-year bond yields climbed to the highest since April 2011 after Fitch said in a statement yesterday that Malaysia’s public finances are its “key rating weakness.” The shrinking current-account surplus and $2.9 billion of sovereign debt maturing today raises the risk of capital outflows, putting the ringgit on course for its worst month in more than a year.

“The dynamics of Malaysia’s current-account surplus getting narrower and the fiscal deficit getting wider are negative for the ringgit,” said Nizam Idris, head of fixed income and currency strategy at Macquarie Bank Ltd. in Singapore. “The shorter-term issue is the bond repayment, which the market has been worried about.”

The ringgit depreciated 0.6 percent, the biggest decline since July 8, to 3.2462 per dollar as of 10:33 a.m. in Kuala Lumpur, according to data compiled to Bloomberg. The currency touched 3.2475, the weakest level since July 2010, and lost 2.7 percent this month.

The yield on 3.48 percent government notes due March 2023 rose one basis point to 4.11 percent, the highest for a benchmark 10-year note since April 2011 and adding to an 18 basis-point increase yesterday. The two-year onshore interest-rate swap climbed two basis points to 3.36 percent, matching the highest level since August 2011, based on closing prices compiled by Bloomberg.

Deficit Target

Fitch affirmed Malaysia’s long-term foreign currency-denominated rating at A-, the fourth-lowest investment grade. It will be difficult for the government to meet a 3 percent deficit target in 2015 without more consolidation, the company said in the statement.

Malaysia’s debt to gross domestic product ratio of 53.5 percent is higher than 25 percent in Indonesia, 51 percent in the Philippines and 43 percent in Thailand, data compiled by Bloomberg show. It’s also approaching the government’s 55 percent limit. The budget deficit widened to 4.7 percent of GDP in 2012 from 3.8 percent in 2011, led by a 19 percent rise in spending on public wages ahead of the May election, Fitch said.

Pressure on the ringgit will remain until the external outlook improves and Bank Negara Malaysiawill probably defend the ringgit’s 3.25 per dollar level, according to a DBS Group Holdings Ltd. research note today. The current-account surplus will narrow to 6 percent in 2013 from 6.1 percent last year and 12 percent in 2011, a Bloomberg survey of economists shows.

One-month implied volatility, a measure of expected moves in the exchange rate used to price options, rose 20 basis points, or 0.20 percentage point to a three-week high of 8.74 percent.