Bank Negara able to ease monetary policy due to Covid-19

Bank Negara said the downside risks to growth include uncertainties in external conditions arising from the ongoing coronavirus outbreak, the various trade negotiations and geopolitical risks, as well as domestic factors, including weakness in the commodities sector and delays in project implementation.

KUALA LUMPUR: Bank Negara Malaysia has “ample room” for monetary policy adjustments as the country braces for the impact from the Covid-19 coronavirus outbreak.

Asked whether Bank Negara would reduce its overnight policy rate further in view of the macroeconomic challenges, its governor Datuk Nor Shamsiah Mohd Yunus said the central bank has “ample room” for monetary policy adjustments.