The House of Representatives Standing Committee on Economics will hold a public hearing with the Governor of the Reserve Bank of Australia (RBA), Dr Philip Lowe, on Friday, 7 February 2020 in Canberra.
Since the RBA appeared before the committee during the previous Parliament in August 2019, the RBA has eased monetary policy by 25 basis points to 0.75 per cent, following the RBA’s decisions to cut the cash rate in October. At its meeting yesterday, the RBA decided to leave the cash rate unchanged at 0.75 per cent.
Commenting on the decision to keep rates on hold, the RBA Governor said ‘the central scenario is for the Australian economy to grow by around 2¾ per cent this year and 3 per cent next year, which would be a step up from the growth rates over the past two years. In the short term, the bushfires and the coronavirus outbreak will temporarily weigh on domestic growth.’
The Governor further remarked ‘due to both global and domestic factors, it is reasonable to expect that an extended period of low interest rates will be required in Australia to reach full employment and achieve the inflation target.’
The Chair of the House Economics Committee, Mr Tim Wilson MP, said ‘the committee will examine the decisions of the RBA in the context of Australia’s broader macroeconomic conditions and assess the RBA’s confidence in current monetary policy settings which aim to encourage growth and keep inflation consistent with the target over the coming years.’
Public hearing details
Date: Friday, 7 February 2020
Time: 9.30am to 12.30pm
Location: Committee Room 1R1, Parliament House
The hearing will be audio cast live at aph.gov.au/live.
Media comment:
Mr Tim Wilson MP
Electorate: (03) 9557 4644
Parliament: (02) 6277 2392
For background information:
Please contact the committee secretariat
Phone: (02) 6277 4587
Email: economics.reps@aph.gov.au
