KUALA LUMPUR: CIMB Group Holdings Bhd expects the ringgit to strengthen against the US dollar this year on the back of improved macroeconomic backdrop.
CIMB Group chief financial officer Khairul Rifaie said the bank forecasted for the local currency to trade at RM4.22 against the greenback for this year.
"We are looking at further strengthening in terms of macro backdrop, both in Malaysia and from a global perspective. We are looking at further strengthening to RM4.22 level," he said in a media briefing here today.
Earlier today, the ringgit surged at Friday's opening against the US dollar, driven by good prospects of Malaysia's economic growth and positive corporate earnings.
At 8am, the ringgit rose to 4.3005/3200 against the greenback against Thursday's close of 4.3080/3140.
The ringgit closed the week at RM4.3140 against the US dollar.
Meanwhile, Khairul said the bank forecasted for the economy to grow at 5.2 per cent this year following strong gross domestic product (GDP) numbers in the second quarter this year (Q2 2024).
The economy expanded 5.9 per cent in Q2 2024 buoyed by stronger household spending amid positive labour market conditions and larger policy support.