Political crisis deepens Ringgit rout

Malaysian Ringgit is facing relentless rout as investors' pulls money out of the country ahead of a rate hike from US Federal Reserve. Moreover current political crisis has provided the acceleration to it.

Even with low movement today, Dollar has gained more than 0.2% against Ringgit. Dollar is currently trading at 3.9165 against Malaysian Ringgit, up 13.5% so far this year and around 22% in last 12 months.

Global slump in commodity prices especially oil, which accounts for 30% of the revenue. Now political crisis is making it worse for Ringgit.

Corruption at state investment fund, 1MDB has already created enough of a firestorm for the current government and to add to the mix Malaysia's anti-corruption agency has found $675 million donated to Prime Minister Najib Razak's personal account.

Though it is too early to say, but current crisis might lead to full blown political crisis, with Prime Minister stepping down his authority.

With political crisis and oil rout, there are little or no respite for Malaysian Ringgit.