RBA: cash rate remains unchanged 6 months on from historic cut
Six months on from the historic emergency rate cut to 0.25% in March , the Reserve Bank of Australia (RBA) has elected to once again leave the cash rate unchanged. The decision was made at the RBA’s regular monetary policy meeting, which happens on the first Tuesday of every month. As it stands, members do not anticipate a cash rate change for at least three years, a point RBA Governor Philip Lowe affirmed while appearing before the House of Representatives Standing Committee on Economics in August. “The Board has clearly indicated that it will not increase the cash rate until progress is being made towards full employment and it is confident that inflation will be sustainably within the 2-3 per cent target range,” Dr Lowe told the committee. “Given the outlook I discussed earlier, these conditions are not likely to be met for at least three years. So, it is highly likely that the cash rate will be at this level for some years and having a target for three-year yields of 25 ba