Bank Negara Malaysia Not Keen to Extend Loan Moratoriums Through 2020

Despite the Government of Malaysia currently negotiating with banks in Malaysia to extend the loan moratoriums, which are scheduled to end on the 30th of September 2020, Bank Negara Malaysia (BNM) states that it has no intention of providing an extension.

According to BNM’s Assistant Governor, Adnan Zaylani Mohamad Zahid, since the moratorium came into effect on the 1st of April 2020, financial institutions have lost around MYR 47.5 billion as of the 19th of June 2020. Of this, MYR 16.6 billion was beneficial for the business sector, with the remaining MYR 30.9 billion for the public.

Zahid highlighted that the Malaysian banking sector, which finances several economic activiti...