Malaysia: Foreigners increased their holdings of domestic assets – UOB

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Malaysia: Foreigners increased their holdings of domestic assets – UOB
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Malaysia: Foreigners increased their holdings of domestic assets – UOB – by pabspiovano Malaysia Bonds Banks Portfolio

Senior Economist Julia Goh and Economist Loke Siew Ting at UOB Group assess the latest performance of FX reserves and foreign portfolio in Malaysia.“Foreigners bought more MYR denominated debt securities in the first month of the year mainly concentrated in government bonds. However, foreigners remained net sellers offor the 5th straight month albeit by a smaller quantum . Taken together, foreigners turned net buyers of Malaysian portfolio instruments by a marginal MYR0.2bn in Jan 2023 .

“Bank Negara Malaysia ’s foreign reserves rose by USD0.5bn in Jan 2023 to USD115.2bn. This marks the highest FX reserves level since Mar 2022. It is sufficient to finance 5.3 months of imports of goods and services and is 1.0 time of the total short-term external debt. BNM’s net short position in FX swaps widened by USD0.4bn to USD26.4bn as at end-Dec 2022, its highest level on record.”Information on these pages contains forward-looking statements that involve risks and uncertainties.

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