About the Malaysian Ringgit
The Malaysian ringgit is the currency of Malaysia, issued by Bank Negara Malaysia. After the Asian financial crisis, the ringgit was pegged at 3.80 to the US dollar from 1998 to 2005; it has floated, with central bank management, since then.
The ringgit is not traded offshore. Malaysia does not allow it to be traded outside the country, so foreign investors and companies hedge it onshore through Malaysian banks.
Malaysia exports electronics, palm oil and natural gas, so the ringgit reacts to the global tech cycle and to commodity prices. Bank Negara's Monetary Policy Committee meets six times a year.
Paying in MYR
- Account details
- Malaysia does not use IBANs. A ringgit payment needs the account number, the account holder's name exactly as the bank holds it, and the bank's SWIFT/BIC code.
- Purpose of payment
- Malaysian banks ask for the purpose of cross-border payments, as part of Bank Negara's foreign exchange policy. Include a clear payment description.
- Domestic clearing
- Ringgit payments within Malaysia go through DuitNow, which sends payments within seconds and can use a phone or business registration number, through Interbank GIRO for batch payments, or through RENTAS for large payments.
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