News about BNM

On Jan 19, the Monetary Policy Committee of BNM decided to maintain the OPR at 2.

Fitch Solutions said while core inflation remains on a firm uptrend, the headline inflation is expected to stay above the central bank’s target at least through the first half of the year, especially with negative real interest rates.

BNM said the country's growth in 2023 is expected to moderate amid a slower global economy, likewise the headline and core inflation figures — though the latter two will remain elevated amid lingering demand and cost pressures.

It said the market overwhelmingly expects BNM to raise the rate by 25 basis points, its fifth in a row, at the Monetary Policy Committee (MPC) meeting on Thursday.

“Following a likely January hike, we expect a pause in March, before another 25bps hike in May, assuming the government announces some form of subsidy adjustments for the second half of 2023.

“[Changes relating to the] OPR are decisions of BNM and not the Ministry of Finance (MOF).

Moody’s expects the local economy to slow in 2023 given external demand for its manufactured goods has weakened, mainly due to the slowing Chinese economy KUALA LUMPUR (Dec 30): Economists expect more overnight policy rate (OPR) hikes to combat inflationary pressures in 2023, with CGS-CIMB expecting two more 25-basis-point increases to 3.

The year is almost out as 2023 gets ready to take its place.

The committee’s final interest rate hike of 2022 was in line with Bloomberg median economist expectations and marked the fourth consecutive 25bps hike of this year, translating to a year-to-date increase of 100bps.

The land premium for converting the land status is a “minimal” RM10,000.