KUALA LUMPUR, 1 August – Bank Negara Malaysia’s (BNM) international reserves were recorded at US$109 billion on June 30, 2022, equivalent to RM480.1 billion. This is an increase from the previous year’s US$106.6 billion, or RM476.4 billion.
Finance Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said BNM’s international reserves are the main buffer against significant and large global investment flows.
Responding to a question raised by Labis MP Pang Hok Liong during the Dewan Rakyat session today, he said without the support of international reserves, the rate of fluctuation in the value of the ringgit currency exchange will be uncertain due to the increase in volatility in the market.
“The stability of the financial market is important to increase the confidence of foreign investors to invest in the local financial market, which in turn will have a positive impact on the level of international reserves,” he said.
Tengku Zafrul also stated that in the long term, the level of international reserves is mainly driven by the strength of the country’s economic base.
“In this regard, we need to focus efforts to increase economic resilience by diversifying economic resources, strengthening economic competitiveness, and strengthening the country’s fiscal position,” he added. — The Malaysian Reserve
