Reserve Bank of Australia monetary policy decision for December 2022. This is the final RBA meeting this year. The next meeting is on February 7, 2023. The RBA does not meet in January.
Headlines via Reuters:
- Board resolute in determination to return inflation to target, will do what is necessary to achieve that
- Board expects to increase interest rates further over the period ahead
- Inflation in australia is too high,
- Board closely monitoring the global economy, household spending and wage and price-setting behaviour
- Size and timing of future increases determined by data and outlook for inflation and labour market
- A further increase in inflation is expected over the months ahead,
- Australian economy is continuing to grow solidly.
- Board is not on a pre-set course
- Labour market remains very tight,
- Household spending is expected to slow over the period ahead
Path to achieving the needed decline in inflation and achieving a soft landing for the economy remains a narrow one
Board’s priority is to re-establish low inflation and return inflation to the 2–3 per cent range over time.
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Full text of Reserve Bank of Australia Governor Lowe's statement is here.
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The hiking cycle so far:
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Background to this is here: