The Monetary Policy Committee (MPC) of Bank Negara Malaysia recently held a meeting, in which they decided to maintain the Overnight Policy Rate (OPR) at 3.00 percent.
In a statement, the central bank also mentioned that the global economy continues to grow, driven by strong domestic demand and good labour market conditions.
On the other hand, global growth continues to be weighed down by persistent core inflation and higher interest rates.
Other highlights of the BNM statement include:
- Malaysian economy expanded at a more moderate pace in Q2 2023
- Local economy affected by the slowdown in external demand for Q2
- Household spending underpinned by favourable labour market conditions in domestic-oriented sectors
Here’s a snapshot of the OPR decisions since January 2020.
Source: BNM OPR decisions
The central bank said at the current OPR level, the monetary policy stance is slightly accommodative and remains supportive of the economy.
Additionally, the MPC sees “limited risks” of future financial imbalances and remains vigilant to ongoing developments; promising to ensure that the monetary policy stance remains conducive to sustainable economic growth amid price stability.
