World Economy

Ringgit Heads for Worst Drop

Ringgit Heads for Worst DropRinggit Heads for Worst Drop

Malaysia’s ringgit headed for the biggest drop since 1998, extending an eighth week of declines as falling oil prices and political turmoil spur capital outflows, Bloomberg reported. The ringgit dropped 2.1% to 4.09 per dollar in Kuala Lumpur, extending this week’s retreat to 4.2%. Oil dropped 0.4% in New York, heading for the lowest close since 2009. Foreign funds have dumped about $3 billion of the nation’s shares this year as Prime Minister Najib Razak grapples with allegations of financial irregularities at a state investment company. Gross domestic product rose 4.9% in the three months through June from a year earlier, after climbing 5.6% in the previous quarter, the central bank said.