Malaysia Holds Rate as Ringgit Tempers Inflation Pressure

Malaysia held its benchmark interest rate steady for a fifth straight meeting, despite heightened risks to growth from the prolonged conflict in the Middle East.

Bank Negara Malaysia held the overnight policy rate at 2.75% on Thursday as expected by all 25 economists in a Bloomberg survey. It described the rate as “appropriate and consistent with the outlook of continued price stability and sustainable economic growth.” BNM has adjusted borrowing costs just once in the past two years, with a quarter-point cut in July 2025.