Updated March 16th, 2024 at 18:41 IST

Google's exchange rate misquoting irks Malaysia's central bank

According to BNM, Google's data misrepresentation occurred on Friday, following a similar incident on February 6th.

Reported by: Business Desk
Google | Image:Google
Advertisement

Malaysia's central bank has raised concerns over Google's inaccurate portrayal of the ringgit's exchange rate, claiming that the tech giant undervalued the currency against the dollar for the second time. The Bank Negara Malaysia (BNM) announced on Saturday its intention to seek clarification from Google regarding this recurring issue.

The ringgit, which reached a 26-year low last month, has experienced a 2.44 per cent decline against the dollar this year. BNM underlined that the currency's current valuation does not accurately reflect Malaysia's positive economic fundamentals.

Advertisement

According to BNM, Google's data misrepresentation occurred on Friday, following a similar incident on February 6th. BNM plans to engage with Google to understand the cause of these inaccuracies and the corrective measures taken to address them.

Google, however, has yet to comment on the matter.

Advertisement

It is worth noting that Google, as per its website disclaimers, does not verify data provided by financial exchanges and other content providers.

On Friday, Google quoted the ringgit at 4.98 to the dollar, significantly deviating from official data showing the currency's weakest level at 4.7075. In contrast, BNM's onshore interbank market rates were quoted at 4.7015 and 4.7045 at different times during the day. For comparison, LSEG data, commonly used by international market participants, recorded a Friday close of 4.7020.

Advertisement

Last week, BNM Governor Abdul Rasheed Ghaffour reaffirmed the government and central bank's commitment to taking coordinated actions to bolster foreign exchange market flows, ensuring the stability of the ringgit.

(With Reuters inputs)

Advertisement

Published March 16th, 2024 at 18:41 IST