PETALING JAYA: CIMB Bank Bhd and CIMB Islamic Bank Bhd have reduced a 50 basis point (bps) reduction in their base rate and fixed deposit / fixed return income account-i Board rates, corresponding to the latest round of cuts made to the Overnight Policy Rate (OPR) by Bank Negara Malaysia (BNM).
Similarly, all financing facilities based on base lending rate (BLR) and base financing rate (BFR) will be reduced by 0.50%.
All rate changes will take effect May 13.
“This third OPR cut for 2020 is essential to bolster the Malaysian economy amid the subdued domestic and global economies coupled with plunging oil prices. This step, together with the government’s economic stimulus package, will lower the cost of borrowings and boost spending power for individuals and businesses to eventually help spur the domestic economy,” the group said in a statement.
In a separate statement, Maybank also announced its base rate and BLR will be reduced to 2% and 5.65% respectively, effective May 8.
Similarly, the Islamic base rate and base financing rate will be reduced by 50bps to 2% and 5.65% respectively.
Maybank and Maybank Islamic’s fixed deposit rates will also be adjusted downwards by 50 basis points effective the same day.
“This reduction is another step to help support economic recovery in the country, and we believe that borrowers will benefit from this additional relief in their loan or financing payments especially during this challenging period,” said Maybank group president and CEO Datuk Abdul Farid Alias.
The last revision in Maybank’s base rate was on March 5.
