Malaysia's central bank keeps the benchmark interest rate steady, citing robust investment and positive economic outlook despite global risks.
Bank Negara Malaysia has maintained the overnight policy rate ( OPR ) at 3%, as anticipated by market analysts. This decision follows the central bank's two-day monetary policy meeting concluded today. The OPR has remained unchanged since May 3, 2023. The central bank anticipates continued economic growth in Malaysia throughout 2024 and into 2025.
It highlights that factors such as healthy employment and wage growth, along with government policy measures like the minimum wage and civil servant salary increases, will bolster household spending. Furthermore, robust investment activity is projected to persist. This sustained growth is attributed to the progress of multi-year projects in both the public and private sectors, high realization of approved investments, and ongoing implementation of catalytic initiatives outlined in national master plans. These investments, fueled by increased capital imports, are expected to stimulate exports and expand the country's productive capacity. Bank Negara anticipates that exports will benefit from the global technology upcycle, continued expansion in non-electrical and electronics goods, and increased tourist expenditure. However, the central bank acknowledges potential downside risks to the growth outlook, including a slowdown in major trading partners, heightened risks of trade and investment restrictions, and lower-than-anticipated commodity production. Conversely, growth could be accelerated by greater spillover effects from the tech upcycle, stronger tourism activity, and faster implementation of investment projects. Regarding the ringgit, Bank Negara views the narrowing interest rate differential between Malaysia and advanced economies as positive. While financial markets may experience volatility due to global policy uncertainties, the central bank asserts that Malaysia's attractive economic prospects, domestic structural reforms, and ongoing initiatives to encourage capital inflows will continue to provide solid support for the ringgit
MALAYSIA BANK NEGARA OPR MONETARY POLICY ECONOMIC GROWTH INVESTMENTS EXCHANGE RATES TRADE GLOBAL RISKS
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Bank Negara maintains OPR at 3.0pc, projects sustained global and domestic growth for 2025KUALA LUMPUR, Jan 22 — Bank Negara Malaysia’s (BNM) Monetary Policy Committee (MPC) has decided to maintain the Overnight Policy Rate (OPR) at 3.0 per cent during its meeting...
Read more »
Bank Negara likely to retain OPR at 3% for 2025KUALA LUMPUR: Wisma Putra has confirmed the detention of a Malaysian in Saudi Arabia, saying it has extended consular assistance to the individual.
Read more »
YTL Digital Bank Launches Ryt Bank, Malaysia's First AI-Powered Digital BankYTL Digital Bank Berhad, a joint venture between YTL Digital Capital Sdn Bhd and Sea Limited, has officially launched Ryt Bank, Malaysia's first AI-powered digital bank. The bank received its digital banking license and is set to commence operations from December 20, 2024. Ryt Bank boasts an AI-powered chatbot, Ryt AI, that simplifies banking services, delivers personalized financial insights, and manages advanced savings strategies. The bank emphasizes security, transparency, accessibility, and a commitment to serving the underserved population.
Read more »
Bank Negara governor: Ringgit on right track, supported by strong fundamentals and growth prospectsKUALA LUMPUR, Jan 9 — The ringgit is heading in the right direction, reflecting the country’s strong economic fundamentals and growth prospects for the next couple of years,...
Read more »
Bank Negara reports 65pc rise in financial complaints, FMOS introduced to improve dispute resolutionKUALA LUMPUR, Jan 17 — The financial industry received around 2.3 million complaints over the past five years, 98 per cent of which were related to the banking sector and the...
Read more »
Malaysia's First AI-Powered Digital Bank, Ryt Bank, to Launch in December 2024Ryt Bank, a joint venture between YTL Digital Capital Sdn Bhd and Sea Limited, has received its digital banking license and is set to commence operations on December 20th, 2024. Described as Malaysia's first AI-Powered Digital Bank, Ryt Bank aims to redefine banking with a customer-centric approach powered by artificial intelligence (AI). The bank will be launched in phases to ensure a smooth rollout. Ryt Bank's core offering is its Ryt AI chatbot, a ChatGPT-style AI-powered private banker designed to simplify banking services, deliver personalized financial insights, and manage advanced savings strategies. The bank emphasizes accessibility, security, transparency, and affordability, promising a seamless and innovative banking experience for Malaysians.
Read more »