Malaysia keeps policy rate at 2.75 per cent amid strong growth
Finance Minister II Amir Hamzah Azizan said controlled inflation allowed financing conditions to remain stable for businesses.
Malaysia’s controlled inflation and strong economic growth justified keeping the overnight policy rate (OPR) at 2.75 per cent, Finance Minister II Datuk Seri Amir Hamzah Azizan said. He said the unchanged rate would support business expansion by keeping financing conditions stable.
Amir Hamzah was speaking in Putrajaya after attending the 2026 Finance Run. Bank Negara Malaysia’s Monetary Policy Committee (MPC) left the rate unchanged at its sixth meeting, which was also its last for the year.
Market analysts nevertheless anticipate an increase of 25 basis points, taking the OPR to three per cent during the first quarter of 2027. Their expectations reflect resilient growth and elevated inflation projections from the central bank.
Amir Hamzah said Malaysia did not face the same pressures as some countries dealing with high inflation, overheated economies and disrupted supply chains. Those pressures could lead central banks to adjust interest rates to manage economic conditions, he said.
He also attributed Malaysia’s better economic position to the Madani Government’s comprehensive management approach. Authority over OPR decisions remained with Bank Negara through the MPC, he said, with economic conditions and inflation informing its assessments.
