KUALA LUMPUR: Bank Negara Malaysia may be nearing a turning point in its monetary policy as stronger economic growth fuels calls to normalise interest rates after a prolonged period of support for the economy.
Economists are divided on whether the central bank will raise the overnight policy rate (OPR) by 25 basis points to 3.0 per cent or maintain it at 2.75 per cent at its final Monetary Policy Committee (MPC) meeting of the year on Thursday.
Bank Muamalat Malaysia Bhd chief economist Dr Mohd Afzanizam Abdul Rashid said the central bank might be inclined to raise the OPR by 25 basis points.
This is given the economy's strong performance in 2025 and so far this year despite external shocks, including US tariffs and the conflict in the Middle East.
