Economics
Malaysia Is Set for Bigger-Than-Usual Rate Cut
- 14 of 20 economists expect rate to fall to lowest since 2010
- Malaysia began relaxing lockdown restrictions this week
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Malaysia is set to cut its benchmark interest rate by a bigger-than-usual 50 basis points on Tuesday to help cushion the economy just as the government begins relaxing restrictions put in place to contain the coronavirus pandemic.
The central bank will lower the overnight policy rate to 2%, the lowest level since 2010, from 2.5%, according to 14 of 20 economists surveyed by Bloomberg. That would be the third reduction in a row and the biggest in more than a decade. Five analysts see a 25 basis-point easing and one predicts no change.