Australia’s central bank maintained its record low interest rate for the sixth straight meeting on Tuesday as widely expected by economists.
The policy board of the Reserve Bank of Australia left its cash rate unchanged at 2.00 percent. The bank had lowered the rates by 25 basis points each in February and May.
Policymakers 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 at this meeting.
Members noted 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,” the bank said in a statement.
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