Kuala Lumpur, Feb 14 (Bernama) -- Second Finance Minister Tan Sri Nor Mohamed Yakcop said that any changes in the interest rates this year will be marginal as the economy is currently stable.
The changes could be marginal but in a bigger scheme of things, it is not going to be a major factor, he told reporters after closing the Perbadanan Usahawan Nasional Bhd (PUNB) National Entrepreneur Networking Seminar, here Tuesday.
"Stable (economy) does not mean it (interest rates) would not go higher or go lower. Stable (economy) means, it (interest rates) would not become unduly volatile," he said when commenting on Citigroup's report which said that the overnight policy rate is expected to increase by 75 basis points by end of the year.
Citigroup also said that the ringgit is expected to strengthen to 3.69 against the U.S dollar.
Nor Mohamed said that the government has never set a forecast for the interest rate hike and any changes in interest rates depended on the current and global economic conditions.
When asked whether the ringgit's appreciation will affect exports, he said: "No. At the present level, it does not adversely affect exports."
As at 5pm today, the local note was firmer against the greenback at 3.7208/7218 from 3.7235/7245 at Monday's closing.