Standard Chartered Malaysia is reducing down its base rate and base lending rate by 50 basis points to 2.52 percent and 5.7 percent per annum respectively effective May 14.
The rate adjustment of -0.5 percent will also apply to its Fixed Deposits interest and Term Deposits-i profit rates across all tenors.
Correspondingly, the Bank is also bringing down its Islamic base rate and base financing rate by 50 basis points to 2.52 percent and 5.7 percent per annum respectively.
The move is in line with Bank Negara Malaysia’s recent announcement to reduce the Overnight Policy Rate (OPR) by 50 basis points to 2 percent, which complements other monetary and financial measures implemented thus far to cushion the economic impact on businesses and households and support the improvement in economic activity.
Abrar A. Anwar, managing director and chief executive officer of Standard Chartered Malaysia believes the move will add more support to domestic economic conditions weakened by
containment measures and border closures that were implemented to curb the coronavirus outbreak.
“Although economic activity is expected to improve with the easing of the Movement Control Order, growth projections remain uncertain due to the rapid and fluid nature of the situation,” he said.
“The rate reduction will help to ease borrowers’ burdens as we wait for the pandemic to die down. During this time, we will continue to support efforts to spur economic growth and help our clients navigate through this challenging period,” he added.
Standard Chartered Malaysia is also offering relief measures for clients who have been affected by the Covid-19 outbreak.