The Reserve Bank of Australia decided to keep its cash rate at a record low of 2%, but implied its openness to further easing despite low inflation.

In a statement, the central bank said muted inflation may render scope for easier monetary policy should that be suitable to proffer support to demand.

But the RBA indicated the reasonable prospects for ongoing growth in the Australian economy, with inflation to goal. The expansion in the non-mining portions of the economy was bolstered last year.

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