This year's performance is outstanding, Bloomberg Intelligence: Ringgit may become the worst-performing currency next year.

The Ringgit has been a top-performing currency in the entire Asia region this year, but Bloomberg Intelligence warns that all that glitters is not gold. The Ringgit, after this year's glory, is likely to become one of the worst-performing Asian currencies next year.

When Bloomberg Intelligence commented on the outlook for Asian currencies, they mentioned that due to a "CSI 300 High Beta" to the rising US dollar, that is, higher sensitivity, under a strong US dollar trend, the Ringgit next year is likely to follow the path of the Korean Won, becoming one of the worst-performing currencies.

Analysts pointed out that although there is limited urgency for a rate cut in 2025, the Ringgit's returns may still be relatively low in the Asian region.

Furthermore, any increase in oil prices triggered by Middle East conflicts is believed to only serve as a temporary boost, supporting the Ringgit's recovery.

Of course, Bank Negara Malaysia may be more vigilant than other central banks in Asia regarding capital outflows and Ringgit depreciation issues, as the central bank has always publicly emphasized that the Ringgit has sufficient fundamentals and is severely undervalued.

Additionally, Bank Negara Malaysia is working hand in hand with the government to call for more collaboration with government-linked investment institutions (GLICs), government-linked companies (GLCs), enterprises, and investors to strengthen ties, encouraging them to continue bringing foreign exchange back to Malaysia.