PM: BNM reserves the right, authority to determine OPR without govt intervention

BANK Negara Malaysia (BNM) reserved the right and authority in making decisions such as the overnight policy rate (OPR) to ensure the stability of the country’s economy without the intervention from the government.

Bernama reported Prime Minister Datuk Seri Anwar Ibrahim as saying that the right and authority that have an impact on the national economy have been given specialisation respectively as stipulated in Malaysian regulations and laws.

“(Changes relating to) OPR is a decision of Bank Negara (Malaysia) and not the Finance Ministry (MOF). I can discuss it if needed but that is the prerogative of Bank Negara (Malaysia),” he reportedly told reporters after the Cabinet meeting today.

Anwar was responding to a question on the impact and action by MOF following the expected increase in OPR twice by BNM.

He said BNM is mandated to promote monetary and financial stability that is conducive to the continued growth of the Malaysian economy.

Therefore, a joint discussion involving BNM Governor Tan Sri Nor Shamsiah Mohd Yunus and Economy Minister Mohd Rafizi Ramli would be held before drafting the Budget 2023.

“I invited the Bank Negara (Malaysia) governor and Minister of Economy to discuss together. As I remember, this is an approach that I used to do. It is not foreign to me because the action of any party will also involve the overall economic policy,” he said.

Anwar, who is also the Finance Minister, is scheduled to table the Budget 2023 in the Dewan Rakyat on Feb 24 at the First Session of the 15th Parliament. – Jan 4, 2023

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