The Malaysian ringgit and Singapore dollar are rising, outpacing other Asian currencies. The U.S. and China agreed on coordinated financial stability measures. Singapore plans to open an Islamic Studies college to promote harmony, counter extremism, and boost its regional influence.
The Malaysian ringgit led Asian currencies, rising 5.3% this year, as investors unwound positions on a weaker Chinese yuan.
Analysts credit the ringgit’s strength to its high correlation with the Chinese currency, benefiting as dollar-yuan positions were rebalanced.
Singapore’s dollar also gained, bolstered by a steady hawkish monetary policy, unchanged since October, despite lower-than-expected inflation figures in June.
These currency gains mark Malaysia and Singapore as standouts in a generally improved performance for Asian currencies against the dollar.
U.S. and China Agree on Measures for Financial Stability
Senior U.S. Treasury and People’s Bank of China (PBOC) officials met in Shanghai to discuss financial stability and capital market cooperation.
Both nations agreed to designate contacts to coordinate responses during periods of financial stress, ensuring resilient and prompt communication.
The meeting was described as “pragmatic, candid, and constructive,” with both sides recognizing areas of disagreement but committing to ongoing dialogue.
Singapore to Establish New College of Islamic Studies
At the National Day Rally, Prime Minister Lawrence Wong announced plans to create a Singapore College of Islamic Studies to support social cohesion and national interests.
Strengthening Social Harmony: The college will prepare leaders knowledgeable in Islam and Singapore’s diverse cultural landscape, fostering racial and religious harmony.
Resilience Against Extremism: Training local religious leaders reduces dependency on external influences that may not align with Singapore’s values.
National Unity: Integrating Islamic teachings with Singaporean values reinforces the alignment of religious practices with national identity.
Diplomatic and Strategic Interests: Establishing a reputable Islamic college strengthens Singapore’s position as a model of moderate Islam, supporting regional stability and enhancing diplomatic influence in Southeast Asia.
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