The current exchange rate for SGD to MYR stands at 3.1815, which is 2.1% below its three-month average of 3.251. The SGD has demonstrated relative stability, trading within a narrow range of 3.1750 to 3.2996 over this period.
Recent forecasts indicate that the Singapore Dollar's performance will be influenced by ongoing monetary policy adjustments by the Monetary Authority of Singapore (MAS). In April 2025, MAS eased its monetary policy due to global trade uncertainties and a reduced GDP growth forecast. However, by October 2025, stronger-than-expected economic growth prompted MAS to maintain its policy stance, now projecting a GDP growth of 1.5%-2.5% for the year. Analysts suggest that while the SGD has shown resilience and characteristics of a safe-haven currency amidst global tensions, its appreciation may face headwinds from exports being impacted by US tariffs.
Conversely, the Malaysian Ringgit has appreciated significantly, reaching a 13-month high, buoyed by a stable interest rate environment and positive economic forecasts. Following the ASEAN Summit, Malaysia secured trade agreements that include tariff exemptions on numerous products, enhancing its export competitiveness and buoying investor confidence. Bank Negara Malaysia's decision to maintain the Overnight Policy Rate at 3% further supports the Ringgit's strength amidst solid GDP growth of 5.2% year-on-year.
The Ringgit's recent gains can also be attributed to a broader resilience in Malaysia's economy and favorable monetary policy. However, fluctuations in global oil prices could impact the MYR due to Malaysia's dependence on oil exports. The current price of Brent Crude oil stands at $62.56, notably 4.4% below its three-month average, reflecting a volatile trading range that might complicate the MYR's trajectory.
In summary, the SGD/MYR exchange rate is shaped by a combination of Singapore's cautious monetary policies in response to a fluctuating economic landscape, while the MYR benefits from resilient growth and strategic trade enhancements. Market participants should carefully consider these dynamics as they navigate currency exchange decisions in the coming months.
