For the first time in almost 3 years, the base interest rate was reduced by the Reserve Bank of Australia by 0.25 percentage points to 1.25% per annum, which is a record low. This decision of the Australian regulator was aimed at stimulating employment growth. It also, in its opinion, is a guarantee of maintaining inflation at the medium-term target level. Some analysts predict that the Central Bank of Australia may reduce the base rate to 0.5% by mid-2020. The regulator expects inflation to accelerate in the near future, despite the low inflationary pressure on the economy. The Central Bank also notes the likelihood of a slowdown in the global economy amid heightened risks associated with the intensification of trade wars.
Pandemic crisis to hit economic growth in Asia, China, World Bank says30.03.2020
Asian shares plunge due to virus, central banks offer temporary relief30.03.2020
New Zealand central bank increases liquidity for businesses30.03.2020
HK Dollar outperforms the Greenback, bolstered by high loan rates and low market liquidity