Reserve Bank of Australia, in its monetary policy meeting on Tuesday, pointed out to the following issues:
Falling in AUD is for supporting experts and tourism.
We would consider more policy easing and rate cuts, if needed. But before that we would assess domestic developments precisely. Generally, it is more reasonable to expect extended period of low interest rates.
The Board reviewed experience of other developed countries and unconventional monetary policy, so they noted that a package of measures is more effective than single actions.
Australia economic data showed inflationary pressures and downside risks to consumer price index components. But we see firmer GDP growth in second quarter and our outlook for consumption is more balanced. These are due to tax rebates and stabilization in housing market.
The world is expected to use more monetary easing.