Compared to the Singapore Dollar (SGD), the Malaysian Ringgit (RM) is currently at its lowest value in history, at RM3.4047.
The previous weakest it has been was RM3.4019 in November of last year.
Though, according to a report by Sinar Daily, the drop in our currency isn’t exactly being seen as negative to business owners n Johor, especially in the retail, hospitality, and food and beverage (F&B) industries, due to an economic overflow from Singaporeans.
The increased value of the SGD has boosted the purchasing power of Singaporeans, currently making Johor a shopping ‘paradise’ for them.
Traders are considering the drop of our RM against SGD a blessing as Singaporeans have flooded to Johor Bahru to spend, spend, spend.
F&B traders in Johor have since shared that the decrease in the value of RM has benefitted them.
“There are 2 factors that influence Singaporeans to shop in Johor Bahru. First is the currency exchange rate and secondly, the flow of traffic at the 2 entrances here. Singaporeans do not mind shopping here especially as the exchange rate of SGD to Ringgit is favourable to them,” said 63-year-old Zaini Atan, who runs a restaurant.
A nasi lemak shop owner chimed in that he has seen an increase of Singaporeans customers, who order food at his eatery without looking at the prices.
“Money is not an issue for them and they even consider Johor Bahru as a ‘food paradise’. If our currency rate continues to decline, it is not impossible that more Singaporeans will shop here,” shared 49-year-old Md Fauzi Suradi.
What do you think? Is the constant decline of our currency a curse or a blessing in disguise?
Do feel free to share your thoughts in the comment section.
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