KUALA LUMPUR, Nov 16: Malaysians are being told to buy more local goods, avoid studying overseas and rely less on foreign maids as officials roll up their sleeves to overcome currency woes without slowing down the economy.

The government is also allowing Malaysia based foreign manufacturers to sell more of their products domestically to entice consumption of these goods at home.

Leading the way, both prime minister Mahathir Mohamad and his deputy Anwar Ibrahim now arrive at official functions in locally-made Proton saloons, instead of the imported luxury cars used regularly only a few months ago.

The ringgit has fallen by some 25 per cent against the dollar after a recent sell-off of the region's markets. Share prices are 46 per cent below 1997's high -- another worrying sign that the economy may slow down significantly next year.Gross Domestic Product (GDP) is officially projected to grow by eight per cent this year, the 10th year of eight per cent or better growth.But next year, the government forecast of seven per cent GDP growth is much higher than those made by private economists.

Although analysts say hiking interest rates would make the ringgit more attractive to hold, officials have said higher rates will derail Malaysia's fast-track economic growth. ``If you increase rates your economy will die.

If you don' t, the country's risk premium will be reflected in the currency,'' saidJimmy Koh.