Malaysia Set to Hold Rate as Growth Stays Strong, Inflation Low

Malaysia is set to keep its benchmark interest rate unchanged on Thursday, as better-than-expected economic growth coupled with low inflation provide a buffer for policymakers to stand pat.

Bank Negara Malaysia is expected to keep the Overnight Policy Rate at 2.75% at its first monetary policy committee meeting for the year, according to all 22 economists in a Bloomberg survey. The central bank has adjusted borrowing costs just once in the past two years, with a 25-basis point cut in July 2025.