Google Malaysia Apologizes for Undervaluing Ringgit Against Dollar

Monday, March 18, 2024 10:12 AM UTC

Google Malaysia issued an apology on Monday, March 18, for inaccurately quoting the ringgit's exchange rate, following a prompt correction by the country's central bank. The tech giant acknowledged its error in undervaluing the Malaysian currency against the dollar. It promptly rectified the mistake after Bank Negara Malaysia (BNM) alerted it.

Immediate Correction

According to Reuters, expressing gratitude for the notification, Google Malaysia swiftly contacted the third party responsible for providing USD-MYR exchange rate information to address the issue and ensure accurate data dissemination.

The ringgit recently hit a 26-year low and saw a 2.44% depreciation this year. BNM emphasized that the currency's current undervaluation does not align with Malaysia's strong economic fundamentals.

BNM highlighted Alphabet Inc.'s Google for disseminating misinformation on two occasions, on February 6 and the recent incident on Friday. The tech giant reported the ringgit at 4.98 to the dollar, contrary to the official rate of 4.7075.

Contrasting Google's figures, BNM cited the onshore interbank market rates at 4.7015 and 4.7045 at 9 a.m. and 5 p.m., respectively. Using LSEG data, international market sources recorded a closing rate 4.7020 for Friday.

Governor Abdul Rasheed Ghaffour from BNM confirmed that the government and central bank jointly implement measures to boost foreign exchange market liquidity. This action aims to stabilize the ringgit amidst recent fluctuations.

Lessons Learned and Future Steps

Yahoo noted that Google Malaysia reiterated its apology for the oversight, ensuring corrective steps have been taken to prevent future inaccuracies in exchange rate information. The company remains committed to providing reliable data to users and partners.

The incident underscores the importance of accurate financial information dissemination in today's interconnected global economy. Both Google and BNM recognize the significance of precise exchange rate data for businesses and individuals.

Google Malaysia and Bank Negara Malaysia have committed to implementing more stringent checks and balances for financial data dissemination. They plan to enhance their collaboration with data providers and introduce additional layers of verification for exchange rate information.

Photo: Pawel Czerwinski/Unsplash