Downside to aggressive hike

Bank Negara would be announcing its decision on the OPR today. One of the sectors that would be most affected by a higher OPR is housing.

PETALING JAYA: Any attempt to raise the country’s benchmark interest rate too soon to pre-pandemic level may be detrimental to economic recovery.

Currently, the overnight policy rate (OPR) stands at 2%, following a 25-basis-point (bps) hike in May from 1.75%. Prior to the Covid-19 outbreak, the rate was at 3%.