Bank Negara Malaysia lowered its overnight policy rate by 50bps to 2.0 percent during its May meeting, bringing borrowing costs to the lowest since March 2010. Policymakers said economic conditions would be particularly challenging in the first half of the year due to the negative effects from the coronavirus pandemic as the recent restriction measures have constrained production capacity and spending. Inflationary pressures are expected to be muted in 2020, with average headline inflation likely to be negative this year, due mainly to projections for substantially lower global oil prices. The central bank also pledged to take further action if needed to support the economy.
Interest Rate in Malaysia averaged 2.99 percent from 2004 until 2020, reaching an all time high of 3.50 percent in April of 2006 and a record low of 2 percent in February of 2009. This page provides - Malaysia Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Malaysia Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on June of 2020. source: Central Bank of Malaysia
Interest Rate in Malaysia is expected to be 2.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in Malaysia to stand at 2.75 in 12 months time. In the long-term, the Malaysia Interest Rate is projected to trend around 3.00 percent in 2021 and 3.50 percent in 2022, according to our econometric models.