Kuala Lumpur: Maybank Investment Bank Bhd (Maybank IB) has maintained its forecast for the overnight policy rate (OPR) at 3.00 percent for this year, aiming to support domestic growth amidst various external challenges. The decision comes in light of uncertainties surrounding US President Donald Trump's policy moves and the manageable risk of domestic inflation.

According to BERNAMA News Agency, Maybank IB's research note indicates a projected inflation rate increase to 3.0 percent this year, up from 1.8 percent in 2024. This increase is largely attributed to cost-push factors stemming from structural and fiscal reforms deemed necessary for economic stability. These reforms include adjustments such as higher labor costs due to the minimum wage hike, multitier levies for foreign workers, and mandatory contributions to the Employees Provident Fund. Additionally, the rationalization of RON95 petrol subsidies, rises in local government taxes, and a potential review of Tenaga Nasional Bhd's base electricity rate in July 2025 are also considered contributing factors.

Similarly, Hong Leong Investment Bank (HLIB) has echoed this sentiment, maintaining its expectation for Bank Negara Malaysia to keep the OPR steady at 3.00 percent through 2025. HLIB adopts a cautious approach, anticipating manageable inflation but acknowledging the potential for upside risks based on the spill-over effects from domestic policy measures.