KUALA LUMPUR, Aug. 18 -- The ringgit is expected to resume its rally and potentially reach its strongest level against the US dollar in nearly a year, according to analysts who cite dovish central bank policies and fiscal commitments as key drivers.

Oversea-Chinese Banking Corp. predicts the ringgit will strengthen to 4.15 per dollar in the fourth quarter due to anticipated central bank easing, while Malayan Banking Bhd. Forecasts 4.10 by December, Bloomberg reported.

MUFG Bank Ltd. Expects a 1.5 per cent gain from current levels, attributing this to improved export competitiveness following a US tariff deal with Malaysia.

The ringgit's recovery from its April low has recently stalled, but upcoming inflation data could revive expectati...