Greece default fears hit Singdollar, ringgit and other Asian currencies

Asian currencies lost ground on Greece default fears with the Singapore dollar trading around $1.35335 to the US dollar on Monday morning
Asian currencies lost ground on Greece default fears with the Singapore dollar trading around $1.35335 to the US dollar on Monday morning PHOTO: BLOOMBERG

SINGAPORE (REUTERS) - Asian currencies lost ground on Monday on Greece default fears with the Singapore dollar trading around $1.35335 to the US dollar on Monday morning and the Malaysian ringgit falling to a 9-1/2-year low.

China's central bank on Saturday cut lending rates for the fourth time since November and trimmed the amount of cash that some banks must hold as reserve, but investors were focused on Greece's debt saga.

The Singdollar was trading at 1.3531 per US dollar at around 10:05 am after ealier falling to 1.3542, down 0.5 per cent from 1.3462 at 6pm on Friday.

The ringgit fell 0.3 per cent to 3.7795 a US dollar, its weakest since December 2005.

South Korea's won earlier lost nearly 1 per cent to 1,127.9 per dollar, its lowest since March 18.

The Indonesian rupiah slid 0.5 per cent to 13,365 per dollar. That compared to a 17-year low of 13,384 hit on June 9.

Cash-strapped Greece looks certain to miss its debt repayment to the International Monetary Fund on Tuesday as its European partners decided not to extend a credit lifeline after Athens' surprise move to hold a referendum on bailout terms.

Mounting fears of a default by Greece triggered bank runs at the weekend and forced the country to impose capital controls.

The euro lost almost 2 per cent with the prospect of Greece being forced out of the euro in plain sight, and stocks prices tumbled across Asia.