Briefly discuss the rationale of the opr reduction

Reference no: EM133319215

Question: In facing the business and economic challenges due the COVID-19 pandemic, Bank Negara Malaysia has reduced its Overnight Policy Rate (OPR) four times in 2020, involving a total of 125 basis points reduction from 3.00 percent to 1.75 percent.

Briefly discuss the rationale of the OPR reduction and whether the BNM's decision has been effective to ease the business and economics impact of the COVID-19 pandemic.

Reference no: EM133319215

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