Malaysia’s credit profile in trouble
Deterioration in public debt ratios, low and energy-dependent revenues, and structural weaknesses weigh on Malaysia’s credit profile, warns Fitch.
OCBC Treasury Research noted:
In its affirmation of Malaysia’s credit rating, Fitch warned that the “deterioration in public debt ratios, low and energy-dependent revenues, as well as structural weaknesses such as low average incomes weigh on the credit profile.”
Meanwhile, the KLCI edged 0.05% higher to 1,632.47 as markets waited for the FOMC results. The lack of further stimulus may further dampen sentiments today, and the KLCI may see further downside pressure. Expect the 1620-1650 range to persist for now.