What is the fair value of the ringgit according to economic conditions?

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The Ringgit's Fair Value is Considered to be Below RM4.00 Against the US Dollar

The ringgit is seen as moving towards the RM4.00 level against the US dollar, with a level below RM4.00 considered consistent with its fair value. This assessment is based on prevailing macroeconomic conditions and the resilience of Malaysia's economic growth.
Economic Conditions and Growth Resilience Support a Stronger Ringgit

The prevailing macroeconomic conditions and the resilience of Malaysia's economic growth are cited as factors supporting a stronger ringgit. A level below RM4.00 against the US dollar is viewed as reflective of the currency's fair value under these circumstances.
Geopolitical Developments Influence Market Sentiment and Currency Valuation

Recent improvements in risk sentiment, partly due to signs of easing geopolitical tensions, have contributed to the ringgit's upward momentum. Specifically, news regarding a potential peace deal between the United States and Iran and its implications for oil prices have boosted market sentiment.
Ringgit Shows Broad Strength Against Major and Regional Currencies

The ringgit has demonstrated strength not only against the US dollar but also against a basket of other major currencies. It has appreciated against the Japanese yen, British pound, and euro. Furthermore, the local currency has gained ground against several regional peers, including the Singapore dollar, Thai baht, Indonesian rupiah, and Philippine peso.

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What is the fair value of the ringgit according to economic conditions?

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