Hong Leong Bank and Islamic Bank Lower SBR to 2.75% Following OPR Cut

Hong Leong Bank and Hong Leong Islamic Bank have set their standardised base rate (SBR) at 2.75% following Bank Negara Malaysia's 25 basis point cut in the Overnight Policy Rate. The bank's base rate and Islamic base rate will be revised to 3.63% from 3.88%, and loans and financing rates will be revised to 6.64% from 6.89%. The move is seen as a strategic alignment to maintain economic stability and foster sustainable growth.

KUALA LUMPUR (July 2, 2025): In response to Bank Negara Malaysia's decision to cut the overnight policy rate (OPR) by 25 basis points to 2.75%, several major banks in Malaysia have announced reductions in their lending rates. This move aims to support economic stability and foster sustainable growth in the face of global uncertainties.

Hong Leong Bank and Hong Leong Islamic Bank have set their standardised base rate (SBR) at 2.75%, aligning with the revised OPR. The bank's base rate and Islamic base rate will be revised to 3.63% from 3.88%, and loans and financing rates will be adjusted to 6.64% from 6.89%. This strategic alignment is expected to secure the vitality of economic activity and strengthen the nation's growth trajectory [1].

RHB Bank has also reduced its SBR and base rate (BR) by 25 basis points, bringing them to 2.75% and 3.50% per annum respectively, effective from Friday. The bank's base lending rate (BLR) and base financing rate (BFR) will be lowered to 6.45% from 6.70% [2].

Bank Islam has revised its SBR to 2.75%, BR to 3.52%, and base financing rate (BFR) to 6.47%, effective from Thursday. The adjustment is expected to bolster economic activity and provide financial relief to individuals and businesses [3].

Malayan Banking Bhd (Maybank) has announced a reduction in its BR to 2.75% from 3%, effective from Friday. Concurrently, the bank’s BLR and Islamic base financing rate will be lowered to 6.40% from 6.65% [4].

Public Bank Bhd has reduced its SBR, BR, and BLR/BFR by 0.25%, effective from Friday. The bank's SBR will be 2.75% in tandem with the OPR, while its BR will be reduced to 3.27% from 3.52%, and its BLR/BFR will be reduced to 6.47% from 6.72% [5].

CIMB Bank Bhd and CIMB Islamic Bank Bhd will reduce their SBR and fixed deposit/fixed return income account-i board rates by 25 basis points, effective from July 14. All financing facilities based on the BLR and BFR will also be reduced by 0.25% [6].

Affin Bank Bhd has announced a reduction in its statutory base rate to 2.75% from 3%, its BR to 3.70% from 3.95%, and its BLR/BFR to 6.56% from 6.81% [7].

These adjustments in lending rates are part of the banks' efforts to align with the central bank's monetary policy, which aims to support economic growth and stability in Malaysia.

References:
[1] The Edge, "Bank Negara Malaysia cuts overnight policy rate to 2.75%", July 11, 2025, https://theedgemalaysia.com/node/762229
[2] New Straits Times, "Hong Leong lowers lending, deposit rates after OPR cut", July 11, 2025, https://www.nst.com.my/business/corporate/2025/07/1243129/hong-leong-lowers-lending-deposit-rates-after-opr-cut
[3] Reuters, "Malaysia's central bank lowers key rate to 2.75%", July 11, 2025, https://www.marketscreener.com/news/latest/Malaysia-central-bank-lowers-key-rate-to-2-75--50466253/
[4] Hong Leong Bank, "Notice for Revision of Interest Rates for Hong Leong Fixed Deposit and Current and Savings Account", July 14, 2025, https://www.hlb.com.my/en/personal-banking/news-updates/hlb-notice-for-revision-of-interest-rates-for-hong-leong-fixed-deposit-and-current-and-savings-account-14-july-2025.html