Recently, the Malaysian Ringgit (MYR) has been steadily strengthening, outperforming other regional currencies against the US Dollar (USD).

In response to this trend, Singaporean finance platform 1M65 shared its outlook on whether the MYR could dip below RM3 against the Singapore Dollar (SGD) in a YouTube video titled “Will the Ringgit Hit 2.90 to 1 SGD?”

"The Ringgit has strengthened against both the Singapore Dollar and US Dollar over the last six months, primarily due to two factors. First, the Federal Reserve has lowered interest rates, and further reductions are expected. As a result, the flow of 'hot money' that had previously moved from Malaysia to the US is now returning to Malaysia,” they explained.

Additionally, they noted, “The Malaysian economy is performing well, which is contributing to the Ringgit’s appreciation. Against the Singapore Dollar, the Ringgit has strengthened from around 3.50 to 3.20—an impressive gain.”

Who Benefits? Will the MYR Continue to Rise or Collapse?

Based on current trends, 1M65 predicts that while MYR could reach RM2.90 against SGD, it’s not guaranteed.

“The trend favors Malaysian consumers. My fellow Singaporeans, you’ve already had your good run when the Ringgit hit 3.50—people rushed to buy houses, groceries, and enjoy holidays in Malaysia. Those days are mostly over for now, though they could return. A rate of RM3 to 1 SGD seems like a reasonable prediction for next year. Whether it will hit 2.90 is uncertain, but RM3 is a possibility,” they added.

1M65 was founded by Singaporean financial expert Loo Cheng Chuan to help Singaporean couples build wealth through investment strategies tied to the Central Provident Fund (CPF).