Bank Negara Maintains OPR At 3.25%
After months of speculation, Bank Negara has decided to maintain the overnight policy rate (OPR), on which commercial banks base their deposit and lending rates, at 3.25%.
This came as no surprise, with most economists already expecting the move.
The central bank released the statement this week following the monetary policy committee meeting chaired for the first time by Datuk Muhammad Ibrahim as Bank Negara Governor. It said that the stance of monetary policy is accommodative and supportive of economic activity.
Muhammad succeeded Tan Sri Dr Zeti Akhtar Aziz On May 1 as the central bank chief.
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Bank Negara said that policymakers were cognisant of downside risks in the global economic and financial environment and would be closely monitoring and assessing their implications on domestic price stability and growth to ensure policy stance remains consistent with sustainable growth of the economy.
“The financial system continues to be sound, with improved liquidity in the domestic financial system, continued orderly functioning of the financial and foreign exchange markets, and financial institutions operating with strong capital and liquidity buffers,” it added.