Central Banks
Malaysia Set to Extend Rate Pause as Ringgit Outperforms Peers
- Currency has slid less than peers amid central bank’s defense
- Removal of blanket subsidies may weigh on inflation this year
Shoppers at a wet market in Kuala Lumpur, Malaysia.
Photographer: Richard Humphries/BloombergThis article is for subscribers only.
Malaysia is set to keep its benchmark interest rate unchanged on Thursday, as low inflation and a currency faring better than peers spare policymakers the pressures that prompted a surprise hike in Indonesia last month.
Bank Negara Malaysia will likely maintain the overnight policy rate at 3%, according to all 24 economists in a Bloomberg survey. The central bank last adjusted borrowing costs a year ago, when it increased the benchmark by a quarter point.