RBA leave interest rates unchanged
3 March 2009
The Reserve Bank of Australia Tuesday left its cash rate target unchanged at a 45-year low of 3.25%. The decision could signal an end to aggressive interest rate cuts as the central bank allows significant monetary and fiscal stimulus already flowing to the economy time to work.
The RBA had signaled in a number of recent missives to the markets that "significant" stimulus needed time to work. By leaving rates unchanged, the RBA has given itself room to respond later should the global and domestic economic pictures deteriorate further.