Trump’s Victory Promises Stability and Opportunity for Malaysia, Says Economist

KUALA LUMPUR, Oct 7 – In a hard-fought comeback, Donald Trump secured victory over Kamala Harris, marking his return to the White House with a mandate focused on trade, economic growth, and a redefined approach to global conflicts.

This win is already stirring hope for countries like Malaysia, where experts foresee positive economic impacts.

Professor Geoffrey Williams, Founder and Director of Williams Business Consultancy Sdn Bhd, shared with DagangNews.com that Trump’s approach could enhance geopolitical stability and economic resilience, which would directly benefit Malaysia.

Stabilizing Geopolitics for Economic Gains

According to Prof Williams, Trump’s firm stance on international issues signals a possible shift toward stability.

During Trump’s previous administration, major global conflicts in Ukraine and Gaza were kept in check.

His efforts in brokering the Abraham Accords in the Middle East and engaging diplomatically with North Korea helped calm tensions.

Prof Williams anticipates that a similar approach could now help ease conflicts, reduce market volatility, and provide a more stable global environment for trade, which could strengthen the Malaysian ringgit.

Supporting Malaysia’s Economic Landscape

A stable geopolitical climate under Trump’s leadership would be advantageous for Malaysia’s economy.

With Bank Negara Malaysia’s (BNM) recent decision to hold the Overnight Policy Rate (OPR) steady at 3%, Malaysia is poised for growth.

Williams sees this as the right move, noting that inflation is expected to stay around 2%, while economic growth could reach the higher end of the 5% forecast.

Such stability, Prof Williams says, reinforces Malaysia’s appeal for foreign direct investment (FDI) and domestic investment, which thrive in consistent policy environments.

Protecting the Ringgit Amid Global Uncertainty

Prof Williams highlights BNM’s proactive measures to manage the ringgit’s stability amid international events that are beyond the control of Malaysian policymakers. By intervening in markets,

BNM can help ensure the ringgit remains resilient, encouraging overseas profits to flow back into Malaysia.

This approach is particularly valuable given the currency’s recent volatility due to unpredictable global dynamics.

Malaysia’s Outlook for Growth and Stability

With Trump’s re-election promising a firmer approach to international policy, Malaysia stands to gain from a globally stabilized environment conducive to trade and economic growth.

Prof Williams emphasizes that Malaysia’s economic fundamentals are solid, supported by steady monetary policy and strategic BNM intervention.

As Malaysia positions itself as an attractive investment destination, Trump’s policies could provide a tailwind, reinforcing the nation’s resilience in the face of international challenges. - DagangNews.com