KUALA LUMPUR: The Financial Markets Committee (FMC) has introduced six measures to enhance the liquidity of the onshore foreign exchange (forex) market, to be effective Monday. The measures by the FMC, which was set up by Bank Negara Malaysia in May this year, are the first phase of market development initiatives to create a deeper and more transparent onshore ringgit market and a well-functioning onshore forex market. “We are providing liquidity to the onshore market and will continue to do so as far as necessary. Adnan said the new measures would help hedge the ringgit against other currencies and, thus, provide a better balance in Malaysia’s forex market. “We are also streamlining treatment for investments in foreign currency assets as residents with domestic ringgit borrowings are now free to invest in foreign currency assets onshore and abroad up to the prudential limit of RM50 million,” Adnan said.

Source: New Strait Times December 02, 2016 16:36 UTC