By DayakDaily Team
KUCHING, Nov 6: Bank Negara Malaysia (BNM) decided to maintain the Overnight Policy Rate (OPR) at 3 per cent following the conclusion of its Monetary Policy Committee (MPC) meeting today.
The central bank said at the current OPR level, the monetary policy stance remained supportive of the economy and was consistent with the current assessment of inflation and growth prospects.
“The MPC remains vigilant to ongoing developments to inform the assessment on the domestic inflation and growth trajectories going into 2025.
“The MPC will ensure that the monetary policy stance remains conducive to sustainable economic growth amid price stability,” it said in a statement today.
On the Malaysian economy, BNM said the latest indicators point towards sustained strength in economic activity driven by resilient domestic expenditure and higher export activity.
“Going forward, exports are expected to be supported by the global tech upcycle, continued strength in non-electrical and electronics (E&E) goods, and higher tourist spending.
“Employment and wage growth, as well as policy measures, remain supportive of household spending.
“The robust expansion in investment activity would be sustained by the progress of multi-year projects in both the private and public sectors, the higher realisation of approved investments, as well as the implementation of catalytic initiatives under the national master plans,” it added.
While Budget 2025 measures will provide additional support to economic growth, BNM noted that the growth outlook is subject to downside risks from lower-than-expected external demand and commodity production.
At the same time, headline and core inflation remain modest, averaging 1.8 per cent year-to-date (YTD).
“Going into 2025, inflation is expected to remain manageable, amid the easing global cost conditions and the absence of excessive domestic demand pressures.
“Nevertheless, the inflation outlook remains subject to the details of the implementation of announced domestic policy measures,” BNM said. — DayakDaily
