by Ian Fan 
On 09 July 2025, Bank Negara Malaysia (BNM) announced the decrease of the Overnight Policy Rate (OPR) by 25 basis points (bps) from 3.00% to 2.75%.
Much, much earlier in 2023, BNM announced the last increase of the Overnight Policy Rate (OPR) to 3%, in line with “the sustained reopening of the global economy and the improvement in labour market conditions continue to support the recovery of economic activity”, and “manage inflation risks”.
Since May 2023 and for the next 12 consecutive meetings, BNM has kept the OPR at 3.00%.
Now that OPR is at 2.75% (post adjusted), what does this mean for fixed deposit holders and savers?
A lower OPR means that the returns will become less for consumers. Banks will revise the interest rates following the decrease in OPR by BNM.
The decrease in OPR results in:
Lower returns for savings accounts and fixed deposits
Savers looking for more returns on their savings accounts and fixed deposits will be displeased. The interest rates for these savings instruments will be lowered in tandem with the OPR decrease.