No Change in Malaysian Monetary Policy

July 5, 2012

Between March 2010 and May 2011, four 25-basis point increases of Bank Malaysia Negara’s overnight target rate were implemented, but no further policy changes have been undertaken in the ensuing seven meetings of the Monetary Policy Committee.  That includes today’s gathering after which officials announced that the key rate stays at 3.0%.  A statement from […] More

Bank Negara Malaysia

July 7, 2011

Officials at The Central Bank of Malaysia were not influenced by China’s interest rate hike yesterday.  After their latest bi-monthly policy meeting, they instead surprised many analysts with a decision not to increase Malaysia’s overnight policy rate beyond its current level of 3.0%.  The authorities took this cautious approach in spite of a doubling of […] More

Malaysian Monetary Policy Unchanged but Statement Warns on Inflation

March 11, 2011

Bank Negara Malaysia kept its Overnight Policy Rate at 2.75%, the level since a 25-basis point hike last July.  There were also 25-bp increases in March and May of 2010.  On-year CPI inflation in January of 2.4% was up from 2.2% in December, and a statement from central bank officials observes “some incipient signs that […] More

Malaysian Monetary Policy Remains Paused

November 12, 2010

Bank Negara Malaysia had implemented three consecutive 25-basis point rate hikes at its March, May, and July meetings but, as in September, left its Overnight Policy Rate at 2.75%, still 75 basis points shy of the pre-recession 3.5% level.  A statement released today expressed concern about “the potential risks arising from large and volatile capital […] More

Malaysian Monetary Tightening Paused

September 2, 2010

Following hikes of 25 basis points each this past March, May and July, Bank Negara Malaysia left its key policy rate at 2.75% today and released a message that called the rate level appropriate and accommodative and did not speak about the need for rate normalization.  While domestic demand has been strong, export growth is […] More

Malaysia Gets a Third Interest Rate Hike

July 8, 2010

Following up on similar moves announced March 4 and May 13, Bank Negara Malyasia hiked its overnight policy rate by 25 basis points to 2.75%.  In doing this, the central bank has now reversed half the easing that was done from November 2008 through February 2009. The latest Malaysian central bank statement is more dovish […] More

Malaysian Monetary Policy Tightened Slightly Further

May 13, 2010

Bank Negara Malaysia implemented its second overnight policy rate hike of 25 basis points today.  The first move was on March 4.  Three cuts earlier cuts were made of 25 bps in November 2008, 75 bps in January 2009 and 50 bps to 2.0% on February 24, 2009.  Malaysia has an enviable combination of strong […] More

Malaysian Monetary Policy Tightened

March 4, 2010

Bank Negara Malyasia today raised its overnight policy rate for the first time since April 6, 2006.  From a 2.5-year peak of 3.5%, such had been cut by 20 basis points in November 2008, 75 bps in January 2009 and  50 bps to 2.0% in February 2009 where such stood until today. Today’s hike of […] More

Malaysian Monetary Policy Unchanged As Forecast

January 26, 2010

Bank Negara Malaysia retained a 2.0% key interest rate as was expected and released a statement predicts a continuing accommodative monetary policy but balances that goal against the need to avoid a buildup of financial imbalances.  On-year GDP growth was still negative in 3Q09.  Recovery is being promoted by supportive macroeconomic policies, better financial conditions, and […] More