First RBA decision of 2024 sees interest rates kept on hold
The Reserve Bank has left interest rates on hold at its first meeting of the year after inflation fell by more than expected towards the end of 2023.
It means the cash rate target remains at 4.35 per cent.
The decision to keep rates on hold had been widely anticipated, with few analysts expecting another rate hike.
However, an increasing number of economists now expect the RBA to start cutting rates in the second half of this year as inflation continues to moderate.
Tuesday’s interest rate decision was the first under the new RBA yearly meeting schedule.
Starting from this month, the RBA Board will only meet eight times a year, instead of 11 and no longer on the first Tuesday of the month.
The RBA Board won’t be meeting in April, July and October, as well as its usually January break.