Interest rate cut no dampener on banks


RHB Research said the impact from the cut would not be too significant.

PETALING JAYA: The 25-basis-point (bps) benchmark interest rate cut by Bank Negara on Wednesday is seen as having limited impact on banks’ bottom lines for now, given the injection of liquidity into the financial system from the cut in the statutory reserve requirement (SRR) announced in May.

Bank Negara cut the overnight policy rate (OPR) by 25 bps to 2.75% as a pre-emptive move to cushion a slowdown in the economy, given the volatility brought on by uncertain US tariff policy.

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