Er bro, I am talking about common men on the street. Not those boss or high earner. Those drawing a normal RM5k+ salary.

My job pay me in USD, I have my saving in oversea where the bank only give 5.1% for 12 months term deposit, but in Malaysia I can get 5.7% per annum (my mistake on my previous message on 5.8%), so far I see Malaysia has the highest interest rate, if anyone come across any higher then 5.7% please share. I don't convert from MYR, swift transfer cost me 15-25 USD per transaction, my purpose is solely saving, don't plan to invest. Why Malaysia FD can give so high interest, not even UK, US, or any western countries can be this rate, any risk will be anticipate? Correct me if I'm wrong. Thanks

Get a multi currency account. No transfer cost

Used hsbc one in uk and it saved so much money

The only good multicurrency acocunt in Malaysia is RHB.

Counterparty risk, geopolitical risk etc. USD deposited in Malaysia is not the same as USD deposited in US or Singapore or Switzerland. Also depends on which bank you deposit your USD.

For the records, US FFR is about 5.5% at the upper end. Banks buy T-bills at around 5.5%, earn some money from the spread and minus costs, give you FD 5% ++, reasonable right?

Otherwise, you can just go straight to the T-bill market and buy T-bills at rates very close to the FFR.

Yea, this male sense, but how Malaysia rate can go up to 5.7%? How banks make profit from our usd fd?

Simple..they lend out at higher rates.

The same way as how banks in Malaysia make money from your MYR FD, by lending out your money to others.

You can trust Cubalagi. He works in the financial industry.

A less profitable and stupid way is to buy US T-bills at a higher rate and sell it to you at a lower rate. They can make a profit of mid-teen basis points, depending on the relative pricing power of banks vs customers.

I'm only converting back what I needed to use. 'Tax calculation' coming soon for remittance back to Msia,...

Net Interest Income = NII

Net Interest margin = NIM

For DBS, UOB and OCBC shareholders,... better know,...

Folks who do not have overseas accts can deposit into FCA's in Msia for now. Better not wait. The exchange rates are high now, no doubt,....

But high can go higher,.... and WILL go higher.

I might be wrong, but I sense higher myr interest rate really might be on the cards this time round……

We have current and trade account surplus overall, that means we are net exporter. With China, we are net exporter (not talking about loans by China for 'investments'). Not sure about Thailand or Indonesia.



This post has been edited by abcn1n: Oct 24 2023, 01:40 AM

Bnm foreign reserve supposed to increase with current account surplus. How much bnm foreign reserve has improved in the last few years?

If pmx is willing to compromise the national interest for hamas, how do you expect the market to react? RM will soon be worse off than AFC time.

This post has been edited by icemanfx: Oct 24 2023, 05:32 AM

It won’t happen 🤦‍♀️ as I did mention before that OPR has to be at least 3.5 withstand the current shock but yet the useless BNM have no guts to raise it and stand pat due to slow domestic economy and pressure from PMX 🤦‍♀️

Stagnant for the past few years since the time of PM8 until now 🤦‍♀️ at around rm110 billion range and the worse part it used to able to cover 6months of import trade and now it is at 5.1 months so you can calculate that is worse off by 15% depreciation hence the currency should be depreciated at that range from low of 4.27 during Feb 🤦‍♀️ and it will hit 5 by Xmas this year

Implied bnm couldn't keep surplus from current account e.g capital outflow, surplus could be inflated.

Pmx is likely to follow erdogan policy to allow RM to devalue.

This post has been edited by icemanfx: Oct 24 2023, 07:38 AM

don't panic. no crisis. see:

https://www.thesundaily.my/business/no-cris...rnor-LD11658377

Typical script everytime ringgit drop.

Imagine if BNM Gov say:
Ok peeps, we are screwed. I have no control of RM. Packing my bags to Singapore tonight. Already asked wife to convert alll RM to USD and SGD. See Ya!