support@kopiandproperty.com

Previous
Next

Advertisement Banner

Policy rates unchanged and should be for 2015.

Actually, it has been widely expected by majority of all analysts that Bank Negara Malaysia (BNM) would continue to pursue an accommodative stance for the economy. This is to push the local economy upwards amidst current slowdown. This is despite Ringgit’s weakening and volatility due to many uncertainties such as negative sentiment from GST implementation or even the fact that many are buying US$ because of the potential of the US Federal Reserve raising interest rates in the near future. Maybe not so soon though. Read here: Buffett’s advice and Federal Reserve’s decision.
BNM expects investment activity in the export-oriented industries, the services sector and for infrastructure projects. This would of course cushion the impact of the lower oil and gas-related investment activities. The economic outlook is however seen to be improving as latest data showed exports no longer trending downwards with the recovery of some key export markets. In fact, BNM said that the global economy will improve even if at a moderate pace. It expects the domestic consumption to be a key driver of growth even after factoring the GST’s sentiment.
My personal feeling remain the same. GST is just a short blip. Looking at how many people who is talking to me about property, I think it is just time and it should be soon too. Those earning much higher salaries have also more disposable income every month because the income tax rate has been reduced up to 2%. Lower fuel prices compared to last year meant that every car driver have more to spend on a monthly basis as well. Yes, I know, everyone is saying that with the Ringgit nearing the 1998 level, how can I be so optimistic? I am optimistic because everyone is pessimistic. Please always note that when everyone is hot, we should be very cautious. My views remain. Happy thinking and reading.
written on 8 May 2015
next suggested article: What’s the basis my dear Fitch Ratings?

Property Investment always start with knowledge. Equip ourselves with more here.

Motion arrow towards right
Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Motion arrow towards right
Share on facebook
Share on twitter
Share on linkedin
Charles Tan The Founder The Writer Kopiandproperty
Charles Tan

Charles is Founder of kopiandproperty.com He writes from his investment experience for the the past 20 years in investments including property, stock, unit trust and more as well as readings and conversations with many property gurus in the industry. kopiandproperty.com is an independent property blog which is not affiliated to any media company, property developer or even real estate agencies.

Previous
Next

Advertisement Banner

Facebook Comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Table of Contents

Most Recent Posts

join the family

Like us for daily investment news and more

Hit the like