RHB Research lowers GDP growth to 5.4%, expects Bank Negara to cut OPR

On monetary policy, Jha said Bank Negara Malaysia (BNM) was expected to cut the Overnight Policy Rate (OPR) by 25 basis points (bps) to 1.5 per cent in Q1 2021.

KUALA LUMPUR: RHB Banking Group has revised its forecast for Malaysia’s Gross Domestic Product (GDP) this year to 5.4 per cent from 6.3 per cent, reflecting a more conservative growth outlook amid the re-imposition of the Movement Control Order (MCO 2.0).

The group’s base scenario assumed MCO 2.0 would run for four weeks, chief economist and head of market research Dr Sailesh Kumar Jha said.