The exchange rate of the Malaysian Ringgit (MYR) to the Thai Baht (THB) stands at approximately 7.5180, which is 1.7% lower than its three-month average of 7.6491. This indicates a stable trading range over the past few months, fluctuating within 3.2% between 7.5130 and 7.7528.
Recent developments affecting the MYR include the Bank Negara Malaysia's decision to maintain its overnight policy rate at 2.75%, a move that reflects stable inflation and economic conditions. In contrast, earlier in July 2025, the central bank had implemented its first rate cut in five years to address challenges from global trade tensions, particularly following the U.S. government's imposition of a 19% tariff on Malaysian exports. Analysts project that these factors could contribute to a potential appreciation of the MYR, with forecasts suggesting a range of RM4.10 to RM4.15 against the U.S. dollar by December 2025.
On the Thai side, the new Prime Minister Anutin Charnvirakul has introduced economic stimulus plans aimed at bolstering growth ahead of elections, while Thailand's inflation rate has simultaneously been declining. The Consumer Price Index recorded a drop of 0.79% year-on-year in August, indicating deflationary pressures that may prompt the Bank of Thailand to consider interest rate cuts. Additionally, the Thai central bank has emphasized flexible monetary policies to navigate ongoing economic challenges, including high household debt and uncertainties stemming from U.S. tariffs.
Oil prices, another critical factor, have been on the decline, with recent figures showing OIL to USD at 66.99, 2.9% beneath the three-month average of 68.98. Such volatility in oil prices can have significant implications for both the MYR and THB, given the importance of oil revenues for Malaysia and the broader economic context in Thailand.
In light of these developments, analysts remain cautious yet optimistic regarding both currencies, as Malaysia's economic resilience faces external challenges, while Thailand's government seeks to revitalize domestic growth amidst deflationary trends. Stakeholders should monitor these factors closely, as they may influence the MYR/THB exchange rate in the coming months.
