RBA Minutes Rule Out Interest Rate Cut Next Meeting

The results of the Reserve Bank of Australia’s (RBA) February meeting suggest that a move towards a “further interest rate cut may not be imminent,” emphasizing its commitment to a cautious approach in managing monetary policy.

Members of the central bank’s Monetary Policy Committee confirmed that the February interest rate cut “does not in any way commit” to further rate cuts in upcoming meetings. The RBA indicated that it acted cautiously when making the decision to cut interest rates in the last meeting, and that it does not see that decision as a commitment to further cuts in the future, according to the results.

The results also indicated that the RBA’s Governing Council was “not certain” that inflation would return to the central bank’s inflation target levels in conjunction with the interest rate cut.

It added: “As a result, members expressed concern about further quantitative easing that can be seen in inflation estimates based on the path that markets have recently taken.”