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Malaysia PM Says No Need To Raise Overnight Policy Rate

MYR

The Malaysian PM Anwar has said in parliament today that there was no reason for benchmark interest rates to increase further. Noting that “We only raise it when the economy demands it. Right now there is no need for that." (BBG).

  • He also said that the Ringgits movements were affected by the US Federal Reserve's actions which is why the medium and long term solution was to decouple from the USD. Anwar said that Malaysia has begun talks with some Arab countries to move towards decoupling from the greenback.
  • The consensus view on Bloomberg is that the BNM will hold rates unchanged at 3.00% on Thursday.

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