Malaysian Govt Should Let The Market Decide Ringgit's Rate -- Economist

KUALA LUMPUR, Sept 1 (Bernama) -- The Malaysian government should let the market decide the ringgit's rate, says IQI Group Holdings Chief Economist/Investment Strategist, Shan Saeed. He said the government has done the right thing by not pegging the ringgit to the US dollar. "I believe in the free market and I don't believe in government intervention. "Whenever the government intervenes in the market, that proves the market has lost confidence in itself. "Let the market decide the ringgit's rate, whether it should be trading at 4.0, 3.8 or 3.9 levels, the market should determine. The government should stay away," said Saeed. He said this at the one-day CFO Summit 2015 on the Asian Economic and Market Outlook and its implications on CFO and Finance Leaders here today. The summit, themed, 'Changes for the Future Starts Today,' is organised by the Asian Strategy and Leadership Institute (ASLI). He said the ringgit was trading at 3.77 in March, 3.55 in May and touching at 4.19 as of last week. "As far as Malaysia is concerned, there are few structure impediments, but it is all about economic confidence and is all about fear," said Saeed. Meanwhile, the ASLI Director, Dr Ramon Navaratnam, said the old has changed but Malaysia was still using the same model from the 1970s. "And that in my mind, is the problem," said Ramon, who was the moderator of the session. -- BERNAMA