Alternate directors are acknowledged and allowed under the Companies Act 2016. But they may be a relic of the past. With virtual attendance of directors at Board meetings, surely the need for an alternate director is redundant.
From a good corporate governance point of view, while the practice is allowed, MSWG tends to take a precautionary view of the appointments of alternate directors. Shareholders too must question the Board on the rationale behind the appointments.
Investing amid high interest rate, rising inflation, depreciating ringgit
In what is has been deemed as a surprise move, Bank Negara Malaysia (BNM) had on 11 May raised the Overnight Policy Rate (OPR) by 25 basis point to 2.00% from a record low of 1.75% which has been in place since July 2020.
Such move was in contrast with the forecast of many economists who had predicted an interest rate hike to only occur towards second half of 2022 although it has to be acknowledged that the earlier-than-expected rate increase might cushion the current ringgit weakness while reducing further capital outflows from the country.