Malaysia will not use monetary policy as a tool to shore up its currency, according to the central bank's deputy governor. Bank Negara's Adnan Zaylani Mohamad Zahid said the country's monetary policy decisions will be determined by economic growth and the inflation outlook. The ringgit currently does not reflect Malaysia's economic fundamentals and growth prospects, Bank Negara said in a statement last week. This has been fueled by expectations that the U.S. Federal Reserve could hold interest rates higher-for-longer as inflation remains sticky. Adnan Zaylani said the central bank expects the U.S. interest rate cycle to turn at "some point in time," which will then reflect on the "ringgit performance."

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Persons: Bank Negara's Adnan Zaylani Mohamad Zahid, CNBC's, Adnan Zaylani Organizations: Bank, Bank Negara, Korean, U.S ., U.S . Federal Locations: Malaysia