RBA review recommends a board with more expertise

The independent review of the Reserve Bank of Australia (RBA) has been released.

Recommended creating a specialist board to manage monetary policy that would be chaired by the governor and have a dual mandate of price stability and full employment.

Headlines via Reuters:

• Review recommends RBA should have dual objectives of price stability and full employment
• RBA should retain a flexible 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 target of 2% to 3% and aim at the midpoint
• How quickly to return inflation to middle of target should be the RBA’s judgement
• RBA should clearly explain how it is balancing its two monetary policy objectives
• Government should form a monetary policy board with greater economic expertise
• Policy board should comprise RBA governor, deputy governor, treasury secretary and 6 external members, with the governor as chair
• Policy board should move to 8 meetings a year, with press conference after each meeting
• Government should establish a RBA governance board with an external chair
• RBA should retain independence, power of government to override decisions should be repealed
• Government should legislate changes to commence from 1 July 2024

Reserve Bank of Australia Governor Lowe. he'll be speaking about the review later in the session:

• Reserve Bank of Australia Governor Lowe will be speaking to media today - live link