Malaysian Ringgit and China Yuan Unpegged
July 21, 2005From BBC News:
China has abandoned its currency’s peg to the dollar and revalued the yuan by 2.2%. It now buys more US dollars than before.
With China both one of the world’s largest exporters of manufactured goods and one of the largest importers of raw materials, the move’s economic impact will be felt worldwide.
BBC News published a Q&A report on this matter rather in detailed. Click here for more.
On the other hand, Malaysian Ringgit was unpegged against US dollar as well. It does sound coincident with the unpegging of China Yuan.
Bank Negara Malaysia announces today that the exchange rate of the ringgit with immediate effect will be allowed to operate in a managed float, with its value being determined by economic fundamentals. Bank Negara Malaysia will monitor the exchange rate against a currency basket to ensure that the exchange rate remains close to its fair value. Promoting stability of the exchange rate continues to be a primary objective of policy.
Read the press statement from Bank Negara Malaysia here.
Fellow bloggers are among the earliest to post about this before I read the news online. They are: politics 101, __earth, lone, Norzu, cccp and Sabri.
Seems like blogs are good sources of updated news these days.. 
Ringgit Floated
Few hours after China announcing depegging of it’s yuan to a managed float, Malaysia has done the same.
Our currency will not be at RM3.80 to USD1 anymore, but instead be determined through a managed float against a set of currencies which woul…
Trackback by The Hopeful Bootstrapper — July 22, 2005 @ 1:12 am