Moody’s: BNM likely to hold OPR at 3%, September cut dependent on inflation and Fed's move
"If the Fed stays on hold for longer, or the unwinding of fuel subsidies sends inflation too high, BNM may be content to keep the OPR at 3%.
BNM keeps overnight policy rate steady, flags rising downside risks to growth
BNM noted that while the global economy is still expanding, the recent US tariffs and retaliatory measures have negatively impacted the outlook for global trade and growth.
Elevated office vacancy rates persist as supply outpaces demand, BNM says
“Continued observations of preferences for more flexible tenancy contracts and hybrid work arrangements suggest adjustments in supply still have some way to go.
Housing loan growth slowed in 2024, impairment ratio remained low, says BNM
Overall outstanding housing loans grew by 6.
After BNM's hold at 3%, economists forecast no OPR change throughout 2025
This marks the eleventh consecutive MPC meeting where the OPR was held at 3%, after a 25-basis-point increase from 2.
BNM keeps OPR at 3% as it bets on steady growth, with manageable inflation
The central bank anticipates global growth to be sustained by positive labour market conditions, moderating inflation, and less restrictive monetary policies, with global trade to remain supported by the ongoing tech upcycle, although it flagged risks from uncertainties surrounding tariffs, major economies' policies, and geopolitical developments.
Economists foresees BNM to hold OPR steady in 2025, but closely watch on inflationary risks
The cautious stance comes as the central bank on Wednesday decided during its first monetary policy meeting of the year to hold the benchmark rate steady at 3%, a move unanimously expected by the market.
BNM keeps OPR steady, takes comfort in sustained growth
“At the current OPR level, the monetary policy stance remains supportive of the economy, and is consistent with the current assessment of inflation and growth prospects,” BNM said.
Ending flat-rate loan calculations can curb household debt, bankruptcy risks — economists
“The Rule of 78 front-loads interest payments, meaning borrowers pay a larger portion of the total interest in the early stages of the loan.
BNM plans to abolish flat rate rule on personal financing products to prevent penalising early repayers
The new proposal also requires FSPs to verify the actual purpose of the financing by requesting supporting documents from the financial consumer before treating additional financing as home financing.
