Malaysia Central Bank To Raise Rates By 25 Bps -Poll

Malaysia central bank will likely raise its key overnight policy rate by 25 bps to 3.25% in its monetary policy meeting, according to nine out of 15 economists polled by Dow Jones Newswires, while the remaining six expect rates to stay on hold. The central bank is also widely expected to raise the statutory reserve requirement. At its last meeting in May, Bank Negara Malaysia raised the key rate by 25 bps and raised the SRR by 100 bps to 3.00%. "While the near-term risk to growth may have been higher than previously anticipated, the longer-term risk associated with high inflation could be even more costly if left unaddressed now," Irvin Seah, an economist at DBS Bank in Singapore, says. The decision is due at 1000 GMT Thursday.