Philip Lowe, Governor of the Reserve Bank of Australia, made the following statement:
- High interest rates abroad have no automatic effects on Australia.
- The Aussie's Flexibility gives the Australian Reserve Bank considerable independence on the timing of domestic policy.
- Rising household debt means that consumption will be severely affected by higher interest rates.
- The Reserve Bank of Australia has not sought to over-regulate monetary policy.
- The economy is improving but obviously there are many risks.
- Monetary policy plays an important role in supporting the economy during the transition period.
- Needs a higher level of productivity to lift real per capita income.
- The expansion policy in the world is now coming to an end.
- The Australian economy is currently on the path of low unemployment rates and lift inflation to the midpoint of the target range.
- Investment boom in the mining sector is nearing an end.
- Interest rates are likely to rise more than cut.
- I see no direct link between wage growth and monetary policy.
- Workers do not get their traditional share of income.
- It's hard to see inflation back above 2.5% anytime soon.
