Skyris’s business reporter Chris Kohler said Australia’s rating agencies believe that the central bank’s chances of cutting interest rates will be great when the central bank’s board of directors meets next Tuesday.
They estimate that there is an 80% chance that the Reserve Bank of Australia will cut interest rates.
In early June this year, the Reserve Bank of Australia has lowered the official Australian interest rate to the lowest level in history, 1.25%.
According to the records of the board meeting announced by the Reserve Bank of Australia, the central bank acknowledged that further interest rate cuts may be necessary.
The central bank hopes that this will promote GDP growth and stimulate the domestic labor market.