The recent developments surrounding the UAE Dirham (AED) and the Malaysian Ringgit (MYR) highlight several factors influencing their exchange rate. As of November 11, 2025, the AED is trading at approximately 1.1299 MYR, which is 1.3% below its three-month average of 1.1443. This indicates a relatively stable period for the AED, which has oscillated within a narrow range of 2.4% from 1.1251 to 1.1519.
Analysts attribute AED stability to positive actions taken by the UAE Central Bank, including a recent interest rate cut of 0.25 percentage points aligned with the U.S. Federal Reserve, fostering investor confidence and contributing to a rise in UAE stock markets. Additionally, the signing of a bilateral currency swap agreement with Turkey aims to bolster local currency liquidity, which could further support the AED moving forward.
In contrast, the MYR has seen an appreciation fueled by a strong economic outlook that includes stable interest rates and improved growth prospects. With recent adjustments allowing trade agreements following the ASEAN Summit and resilient GDP growth reported at 5.2% for Q3 2025, the MYR’s strength reflects a commitment to economic stability. The Malaysian central bank has maintained the Overnight Policy Rate at 3%, signaling confidence in continued economic resilience.
Recent market trends for oil, which significantly impacts the MYR given Malaysia's status as an oil exporter, indicate volatility. OIL is currently at $62.56, representing a 4.4% decline from its three-month average of $65.44. This decline in oil prices can pose potential risks to MYR valuations, as lower oil prices might impact Malaysia’s export revenues.
In summary, while both currencies exhibit stability amid positive developments, the current dynamics suggest that the MYR is positioned well against the AED, backed by strong economic indicators and recent trade agreements. Investors and businesses engaged in transactions between these two currencies should remain vigilant as economic developments unfold, as shifts in oil prices could significantly influence MYR stability against the AED in the foreseeable future.
