RBA Remains Confident in Country’s Economic Growth

The Australian dollar has declined and remains under pressure following the release of the minutes of the meeting of the Reserve Bank of Australia on monetary policy. The RBA kept the interest rate unchanged at a record low of 1.5% on November 7. Representatives of the RBA said that the country's economic prospects remain consistent.

The minutes of the November meeting of the RBA noted that employment growth and exports remain strong. Nevertheless, wages, consumer prices and domestic consumption remain weak. Representatives of the central bank of Australia showed particular concern about the forecast of wage growth and its impact on inflation. Politicians admitted that wage growth was weaker than expected. In general, politicians were of the opinion that inflation should increase gradually.

The RBA also noted that maintaining the monetary policy position unchanged will be consistent with sustainable economic growth and the achievement of the inflation target over time.