On 20 January 2006, at its first meeting for the year 2006, Bank Negara Malaysia's Monetary Policy Committee (MPC) decided to leave the Overnight Policy Rate (OPR) unchanged at 3 percent. Malaysia's economic growth is expected to gain momentum in 2006, with the risk of inflation still remaining. Going forward, Bank Negara Malaysia will continue to assess developments in the domestic and international economy and their implications for the medium-term prospects for growth and inflation.

 

Based on the monetary policy statement above.

1. Any changes in the Overnight Policy Rate (OPR)? Report the percentage change.

2. What was the new OPR level (%)?

3. Why did BNM change its interest rate?