CASA expanded at a faster rate of 5.8%.
According to Maybank Kim Eng, total deposits maintained momentum and increased MYR6.7b (US$1.5b) MoM in Jan 2017 after having risen a sizeable MYR13.3b (US$3b) MoM in Dec 2016, the latter due in part to BNM’s measure to encourage exporters to convert 75% of their proceeds into MYR, says Maybank Kim Eng. This increase in Jan 2017 was led by higher Government-related deposits.
"Deposit growth was a higher 3.1% YoY in Jan 2017 versus 2.0% YoY in Dec 2016, while CASA expanded at a faster rate of 5.8% YoY vs 5.0% YoY in Dec 2016. Malaysia’s inflation rate jumped to 3.2% in Jan 2017 from 1.8% in Dec 2016 as a result of the fuel price hikes during the month. Consequently, the real rate of return on deposits turned -23bps in Jan 2017 from +117bps in Dec 2016."
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