KUALA LUMPUR: Standard Chartered Bank Malaysia Bhd has forecast the overnight policy rate (OPR) to gradually increase to 2.75 per cent by mid-2010, said managing director and chief executive officer Osman Morad.

Currently, interest rates stood at two per cent.

“We foresee a gradual rise in interest rates starting from the end of the first quarter this year,” he told reporters after opening its newly-relocated branch at Bandar Puteri in Puchong on Tuesday.

“I think Bank Negara has released their statement to make it very clear that they are concerned about growth and we will probably see a rise in OPR.(Based on) Our own internal forecast, we’ll see a possible two to three increases,” he added.

Meanwhile, Country Consumer Banking Head Tiew Siew Chuen said the bank hoped to upgrade, relocate and renovate 30 to 35 per cent of its premises over the next three years.

She said that it was part of the bank’s efforts to focus on customers’ needs and develop long-term relations with them by offering better banking experience.

Currently, the bank has 33 branches nationwide.

She said Standard Chartered Bank had lots of plans going forward to continuously upgrade its branches across Malaysia. – Bernama