Loans Only

Cash rate remains unchanged!

The Reserve Bank of Australia (RBA) has decided to leave the cash rate unchanged at 0.10 per cent.

As mentioned in Governor Philip Lowe’s official statement, “In Australia, the economic recovery is under way and recent data have generally been better than expected. This is good news, but the recovery is still expected to be uneven and drawn out and it remains dependent on significant policy support.”

“For its part, the Board will not increase the cash rate until actual inflation is sustainably within the 2 to 3 per cent target range. For this to occur, wages growth will have to be materially higher than it is currently. This will require significant gains in employment and a return to a tight labour market. Given the outlook, the Board is not expecting to increase the cash rate for at least 3 years.”

What does this all mean? Essentially, the RBA is committed to keep funding costs low, meaning now is the time to get a better deal on your existing or future loan.

Get in touch today to see if you can benefit from this unprecedented low cash rate!