KUCHING, May 3: Bank Negara Malaysia (BNM) decided to increased the Overnight Policy Rate (OPR) by 25 basis points to 3.00 per cent at the Monetary Policy Committee (MPC) meeting today.
The ceiling and floor rates of the corridor of the OPR were also correspondingly increased to 3.25 per cent and 2.75 per cent, respectively.
“With the domestic growth prospects remaining resilient, the MPC judges that it is timely to further normalise the degree of monetary accommodation.
“With this decision, the MPC has withdrawn the monetary stimulus intended to address the Covid-19 crisis in promoting economic recovery,” BNM said in a statement today.
In light of the continued strength of the Malaysian economy, the MPC said it also recognised the need to ensure that the stance of monetary policy is appropriate to prevent the risk of future financial imbalances.
At the current level, BNM said monetary policy stance is slightly accommodative and remains supportive of the economy.
The MPC gave assurance it will continue to ensure that the monetary policy stance remains consistent with the outlook of domestic inflation and growth. — DayakDaily
