KUALA LUMPUR (May 6): Public Bank will reduce its base rate (BR) and base lending rate (BLR) by 50 basis points (bps), in line with Bank Negara Malaysia’s (BNM) overnight policy rate (OPR) cut yesterday.
BNM made its third OPR cut of the year, reducing it by 50bps to 2%, a level last seen during the 2008-09 global financial crisis. BNM earlier cut the OPR by 25bps in January and another 25bps in March.
In a statement, Public Bank said its fixed deposit rates will also be correspondingly adjusted by 50bps.
All rates will be effective on May 12.
“The year-to-date cumulative reduction in the base rate of 100bps will assist in easing borrowers’ burden and this is especially significant under the current challenging period brought about by the Covid-19 outbreak and the enforcement of the movement control order necessary to stem the outbreak.
"This, coupled with the government’s fiscal stimulus and BNM’s financial relief measures, will lend support to the economy, enabling gradual recovery in economic activities,” said Public Bank managing director and chief executive officer Tan Sri Tay Ah Lek.