Alexa
  • Directory of Taiwan

Malaysia's central bank says inflation expected to fall below 3 percent

Malaysia's central bank says inflation expected to fall below 3 percent

Malaysia's inflation rate could slide below 3 percent if current economic conditions prevail, the central bank governor said Thursday.
Bank Negara Malaysia Governor Zeti Akhtar Aziz was quoted by national Bernama news agency as saying that inflation is likely to ease further because crude oil prices have been falling lately and the economy isn't facing demand pressure.
Last month, Malaysia's central bank kept its key overnight policy rate _ used by banks to set lending rates _ unchanged at 3.5 percent on continued expectations of easing inflation.
In August, inflation was 3.3 percent, the lowest since February's 3.2 percent.
Most economists predicted the central bank has finished hiking rates _ at least for this year and possibly for this cycle _ and is now shifting focus from fighting inflation to supporting economic growth.
The government has cut its growth forecast this year to 5.8 percent, down from 6 percent originally, but said it expected the economy to expand 6 percent next year.


Updated : 2021-05-14 02:58 GMT+08:00