Australia’s Treasurer has a new monetary policy statement with Reserve Bank of Australia

Treasurer Chalmers comments:

  • Agreed on a new monetary policy statement with RBA
  • Reserve Bank board
    and govt agree that a flexible inflation target is appropriate
    framework for achieving price stability
  • RBA, govt agree that
    an appropriate goal is consumer price inflation between 2 and 3 per
  • Reserve Bank board
    sets monetary policy such that inflation is expected to return to the
    midpoint of the target
  • The appropriate
    timeframe for this depends on economic circumstances

This is just a shifting of the deckchairs.


  • RBA to publish detailed forecast data and assumptions including for
    the cash rate
  • Once the new
    monetary policy board is operational it will publish an unattributed
    record of votes and will publish board papers after five years
  • Monetary policy
    board will convene and engage with an expert advisory group on
    monetary policy to provide the board with a wide range of external

I posted views on the changes coming up at the RBA a few months ago:

This article was written by Eamonn Sheridan at Source