Economists hit Malaysia's dollar peg

Malaysia should get rid of its currency peg to the dollar and fix the exchange rate to a trade-weighted basket of currencies instead, said several economists speaking at a conference in Kuala Lumpur.

Economists from the World Bank, local universities and the Malaysian Institute of Economic Research, or MIER, a private think tank, each proposed a basket-linked exchange rate as the best policy alternative to the risk of a free-floating system and the rigidity of the current fixed-exchange regime

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