Malaysia holds key interest rate at 3.0% despite falling ringgit

Central bank stands pat as regional peers resume monetary tightening

20231031 Malaysia ringgit

The Malaysian ringgit fell to a 25-year low against the dollar in October.  © Reuters

NORMAN GOH, Nikkei staff writer

SINGAPORE -- Malaysia's central bank on Thursday kept its benchmark interest rate unchanged at 3.0% despite a falling local currency that is putting inflationary pressure on the economy.

"At the current [rate] level, the monetary policy stance remains supportive of the economy and is consistent with the current assessment of the inflation and growth prospects," the Bank Negara Malaysia said in a monetary policy statement.

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