OPR is decided by BNM, not gov.

Also with Euro debt crisis, worldwide economy generally slowing down across, inflation pressure temporarily is not serious, there is little need or urgency for BNM to increase OPR, unless inflation pressure comes back again.

At 3%, Malaysia is one of highest interest rate worldwide across, even Australia, a country previous famous for high interest rate, now only 3.5%.

OPR is about BNM decision which is based on economy needs and condition.

The differentiate between OPR and BLR is high, aka we have around 3.x% profit margin for the bank.

Too low rate is not good either, it fuels speculation property as well, which may prompt for bubble forming and if burst, consequence can be even worst. Look at real estate bubble that burst in other country which cause so many problem around and could drag the economy for years and decade
With at current interest rate, property price already escalating so drastically, if lower rate, I cannot imagine.

Also with too low rate, it fuels inflation as well, we have been facing some problem in inflation for the past few years, many people also complain inflation has been pressuring people until "cannot breath", if too low rate and fuel the inflation, the situation can be worst as well.