Maybank, CIMB cuts BLR by 25 basis points

Malayan Banking Bhd has reduced its base lending rate by 25 basis points from 6.75% to 6.5% effective Dec 1.

The decision was made following Bank Negara’s move to lower the overnight policy rate by 25 basis points to 3.25% on Monday. The base financing rate of Maybank Islamic Bhd would also be revised downward by 25 basis points from 6.75% to 6.5% effective Dec 1. Maybank’s president and CEO Datuk Seri Abdul Wahid Omar said the move would benefit borrowers as interest rates on all loans pegged to the bank’s BLR would also be adjusted accordingly.

It is a decisive step to the advantage of our borrowers as well as a means to spur economic and business growth for the various sectors,” he said.

He added that both Maybank and Maybank Islamic would continue to review the market environment and leverage on its core strength to provide customers more financial support in these difficult times.

Wahid added Maybank intended to open another nine branches in the next three year in Cambodia to strengthen its presence in the regional market.

Maybank has two branches in Cambodia and plans are in the pipeline to open another one early next year.

CIMB Bank lowers lending rates
CIMB Bank Bhd and CIMB Islamic Bank Bhd will reduce their base lending rate (BLR) and base financing rate (BFR) by 25 basis points to 6.5% respectively with effect from Dec 1.

The decision to lower the rates followed Bank Negara’s move to reduce the overnight policy Rate (OPR) by 25 basis points on Monday.

CIMB Group’s group chief executive Datuk Seri Nazir Razak said on Tuesday the bank decided to pass on the full benefit of the OPR reduction to borrowers.

“This full pass-through of Bank Negara’s OPR reduction will help existing borrowers and also potential borrowers to contend with an environment of sharply moderating economic growth. We continue to also welcome borrowers to engage us if they need to restructure their payment schedules,” he said

Nazir said CIMB Islamic also planned to provide more attractive Islamic financing rates to pass on the benefits of ample liquidity in the Islamic banking market. Customers can expect to pay lower rates for Islamic financing compared to conventional loans at CIMB Group.

Despite the lower lending rates, CIMB Bank and CIMB Islamic deposit rates remain attractive at up to 3.5% per annum, he added.

By The Star

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