Today's top Malaysian news, sport and lifestyle.
European lawmakers are finalizing rules for a digital euro, which the ECB aims to formally approve on January 1, 2027, with a public launch expected in 2029. The currency would offer Europeans a direct claim on central bank money while reducing reliance on US payment giants.
The European Parliament has endorsed plans for a digital euro, voting overwhelmingly to create an electronic version of the common currency. The move seeks to challenge the dominance of American payment platforms across Europe.
Multiple research houses forecast Bank Negara Malaysia will keep its overnight policy rate unchanged at 2.75% through 2026, reflecting confidence in Malaysia's economic growth momentum and controlled price pressures.
Investment banks have lifted Malaysia's 2026 economic growth forecast to 4.5%, buoyed by robust export performance and steady domestic activity. The central bank is expected to maintain interest rates at 2.75% throughout the year amid contained inflation.
Malaysia's MADANI government is partnering with Bank Negara Malaysia and banks to strengthen financial inclusion through basic credit cards capped at 14% interest, elimination of ATM withdrawal fees, and targeted relief for MSMEs affected by global economic shocks.
CIMB Treasury projects Bank Negara Malaysia will maintain its overnight policy rate at 2.75 per cent this week as retreating global oil prices diminish inflationary pressures, though second-round inflation risks remain a consideration.
Malaysian banks are reassessing their second-half outlook as geopolitical tensions ease but US Federal Reserve hawks tighten monetary policy, creating mixed signals for lenders preparing for the remainder of 2026.
Malaysia's immediate inflation environment looks steady, yet the economy faces underlying structural vulnerabilities to commodity price movements and ringgit volatility that could disrupt price stability.