Malaysia reneges on pledge to hold firm

Bank Negara Malaysia has cut its benchmark rate by a further half a point despite indication earlier this month that it would hold back on further loosening.

The central bank cut its key overnight policy rate to 2% less than two weeks after Zeti Akhtar Aziz, the governor of the central bank, told reporters that rate cuts were now front-loaded and that the central bank was more concerned that businesses and households had access to credit.

Analysts were largely expecting the central bank to ho