Malaysia's central bank maintains overnight interest rate at 3%

By Jennifer Chiou

New York, March 6 - The Monetary Policy Committee of Bank Negara Malaysia, Malaysia's central bank, announced that it has again decided to keep its overnight policy rate unchanged at 3% as global economic expansion remains moderate.

Despite improvements in the advanced economies, the recovery has been modest and uneven, the committee said.

Conditions in the international financial markets continue to be volatile as markets adjust to policy shifts in a number of major economies and to geopolitical developments, according to a committee release.

For the Malaysian economy, latest indicators point to further improvement in exports and continued expansion in private sector investment spending, the release noted. Going forward, this trend is expected to continue.

Inflation has been gradually rising due to disruptions in supply following adverse weather conditions and increases in domestic costs, the committee stated.

Looking ahead, inflation is expected to be affected by higher domestic costs. The subdued external price pressures and moderate domestic demand conditions will, to some extent, contain the impact of these cost factors on the underlying inflation, the release said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.