MAPIM Calls For Cross-political Support To Revitalise, Propel Economy

KUALA LUMPUR, Sept 24 (Bernama) -- The Malaysian Consultative Council of Islamic Organisations (MAPIM) has called on all parties, regardless of political ideology, to support the MADANI Government’s efforts to revitalise and strengthen the national economy in the current situation where the ringgit continues to strengthen.

Its president, Mohd Azmi Abdul Hamid, said that the interest rate cut by the US Federal Reserve has caused currency value and exchange rate globally to undergo changes based on each country’s economic fundamentals and highlighted that Malaysia’s economic fundamentals are strong.

He pointed out that the local note has strengthened compared with major global currencies, such as the US dollar and the euro, and is the strongest currency in Asia against the greenback.

bootstrap slideshow

“According to analysis by economists, the strengthening of the ringgit compared with other currencies, including Singapore, provides many advantages to the Malaysian economy, especially concerning imports,” he said.

When trading opened this morning, the ringgit revisited the RM4.19 level against the US dollar, driven by Malaysia’s lower-than-forecasted CPI increase of 1.9 per cent and a 50 basis point interest rate cut by the US Federal Reserve. The immediate support level is expected at RM4.07.

At 8 am, the local note traded at 4.1995/2055 versus the greenback from Monday’s close of 4.2000/2060.

bootstrap slideshow

Mohd Azmi said the measures taken by the MADANI government, such as the rationalisation of subsidies and the transition to sustainable employment, had a positive effect on investors, strengthening the ringgit’s value and proving that Malaysia is capable of moving towards a developed and stable country.

“Political stability resulting from Prime Minister Datuk Seri Anwar Ibrahim’s leadership has increased investors’ confidence to continue investing in Malaysia.

“Therefore, we call on all parties, political parties, economists, elected representatives, the private sector, civil organisations, religious leaders and scientists, to take the opportunity to cooperate and help the government continue strengthening the country’s economic growth.

“It is inappropriate for narrow political interests to take precedence over strengthening the country’s economy. Political wisdom and maturity must be in play to ensure Malaysia moves towards becoming a country of excellence,” he said.

Mohd Azmi also called on the government to continue moving towards a sustainable economy based on social justice and quality of life.

He said food security should also be prioritised to reduce dependence on imports.

The MAPIM president also proposed that Malaysia’s involvement in BRICS should be studied to maximise benefits to the country.

BRICS was established in 2009, initially comprising Brazil, Russia, India and China, with South Africa joining in 2010.

In January 2024, Iran, Egypt, Ethiopia and the United Arab Emirates (UAE) also joined as new members.

Together, BRICS members account for a cumulative gross domestic product (GDP) of US$26.6 trillion, representing 26.2 per cent of the world’s GDP, nearly equalling the economic strength of the G7 group.

The BRICS nations collectively have a population of 3.21 billion, expected to grow further with the addition of Iran, Egypt, Ethiopia and the UAE, which together have 333 million people.

This will create a market of approximately 3.54 billion people, or nearly 45 per cent of the world’s population.

-- BERNAMA