ICYMI - Australian government announced the RBA review terms on Tuesday

One for the boffins out there.

On Tuesday (Australian time) Treasurer Jim Chalmers released the terms of reference for a review of the central bank. these will include:

• will look at the "appropriateness of the inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term-targeting framework"
• how the RBA's moves interact with government spending
• will also consider the RBA's conduct "during crises and when monetary policy space is limited" 9this'll open up questions on policy such as quantitative easing Quantitative Easing Quantitative easing (QE) is a monetary policy in which a central bank buys government bonds or other financial assets in order to inject money into the economy to expand economic activity.One of the byproducts if not goal of QE is to help drive down the value of a currency, thereby making one’s exports, equities, and other products more affordable on a global stage.QE is considered an unconventional form of monetary policy and is usually used when inflation is very low or negative or when standa Quantitative easing (QE) is a monetary policy in which a central bank buys government bonds or other financial assets in order to inject money into the economy to expand economic activity.One of the byproducts if not goal of QE is to help drive down the value of a currency, thereby making one’s exports, equities, and other products more affordable on a global stage.QE is considered an unconventional form of monetary policy and is usually used when inflation is very low or negative or when standa Read this Term)
• the RBA's performance "in meeting its objectives" would also be scrutinised
• who sits on the RBA board and how they come to decisions on the cash rate will also be examined

The review will be delivered by March 2023.

Canadian Central Banker Wilkins, Australian National University Professor McKibbin, Former Treasury Official Brouwer will conduct the RBA Independent Review.

ps. Stay tuned, Reserve Bank of Australia Governor Lowe is speaking at 2310 GMT:

• Economic calendar in Asia 20 July 2022 - Reserve Bank of Australia Governor Lowe speaking