Cash Rate unchanged at 2%

The Reserve Bank has left the Cash Rate unchanged at 2%. This is the 7th month in row that the rate has been left unchanged.

In his statement the Reserve Bank Governor Glenn Stevens said

“At today’s meeting the Board again judged that the prospects for an improvement in economic conditions had firmed a little over recent months and that leaving the cash rate unchanged was appropriate. Members also observed that the outlook for inflation may afford scope for further easing of policy, should that be appropriate to lend support to demand. The Board will continue to assess the outlook, and hence whether the current stance of policy will most effectively foster sustainable growth and inflation consistent with the target.”