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RBA Vigilant To Upside Risks To Inflation, Minutes Show

By Renju Jaya   ✉  | Published:  | Google News Follow Us  | Join Us
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The Reserve Bank of Australia remained vigilant to upside risks to inflation and the board affirmed that the policy would need to be sufficiently restrictive until inflation moves sustainably towards the target, according to the minutes of the policy board meeting held on November 4 and 5.

Faster-than-expected decline in inflation could warrant an easing in the policy rate but that they would need to observe more than one good quarterly inflation outcome to be confident that such a decline in inflation was sustainable, the minutes showed Tuesday.

In November, the bank had kept its cash rate target unchanged at a 13-year high of 4.35 percent. The bank had previously changed its rate in November 2023, when it was lifted by 25 basis points.

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