Bank Islam Malaysia Berhad is revising its Base Rate (“BR”) by 25 basis points from 2.77 percent to 2.52 percent per annum, while Base Financing Rate is revised from 5.72 percent to 5.47 percent per annum.
Similarly, deposit rates will also be adjusted downwards by 25 basis points. All rate changes will be effective from July 10. The decision is in response to Bank Negara Malaysia’s announcement to reduce the Overnight Policy Rate by 25 basis points from 2.00 percent to 1.75 percent.
Bank Islam’s chief executive officer, Mohd Muazzam Mohamed said, “We foresee that this move will cushion the post-moratorium impact to majority of our customers by easing their monthly installment commitments. It is the Bank’s priority to ensure customers’ financial needs are considered through this challenging environment. We are ever ready to provide consultation on repayment arrangements with customers whom are badly affected by the Covid-19 pandemic.”
The last revision in Bank Islam’s BR was on May 12, when it was revised from 3.27 percent to 2.77 percent, while BFR was reduced from 6.22 percent to 5.72 percent.