The ringgit fell, adding to last week’s 3.8 percent slide, on speculation investors will dump more Malaysian stocks and bonds amid deteriorating sentiment linked to a political scandal.

The currency is trading at a 17-year low against the dollar as Prime Minister Najib Abdul Razak is embroiled in controversy after a probe revealed he received a personal donation from the Middle East. Brent crude prices continued to decline on Monday, putting further pressure on the oil-exporting nation’s finances as the US prepares to raise interest rates.

“Sentiment remains very poor towards Malaysian assets,” said Khoon Goh, a strategist at Australia & New Zealand Banking Group Ltd in Singapore. “The drop in oil prices this morning, as well as the ongoing domestic political issues, mean the ringgit will stay on the back foot.”

The currency fell 0.9 percent to 4.1155 a dollar as of 9.15am in Kuala Lumpur, according to prices from local banks compiled by Bloomberg . The ringgit slid 3.8 percent last week as a devaluation in the Chinese yuan compounded losses for this year’s worst-performing Asian currency. The benchmark stock index also headed lower.

- Bloomberg