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RBA cuts rates to record lowWritten on the 6 August 2013 The Reserve Bank has announced a cut in interest rates for the second time this year, resulting in the cash rate now standing at its lowest since 1959 of 2.5 per cent.RBA governor Glenn Stevens expected the Australian economy to continue to grow below trend in the near term as mining investment falls, and for inflation to remain consistent with the medium-term target as labour costs moderated. Mr Stevens added that the Australian dollar remained “at a high level” despite losing about 15 per cent of its value since early April, and welcomed a further depreciation of the exchange rate to help foster a rebalancing of growth in the economy.
For the official announcement follow the link below. |
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