Australia Keeps Rates On Hold

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Australia's central bank decided to leave its key interest rate unchanged at a record low, as widely expected, on Tuesday.

The board of the Reserve Bank of Australia, governed by Philip Lowe, maintained the cash rate at 1.50 percent.

The bank noted that the low level of interest rates is continuing to support the Australian economy.

The Bank's central forecast is for the Australian economy to grow faster in 2018 than it did in 2017.

The central forecast is for CPI inflation to be a bit above 2 percent in 2018.

Taking account of the available information, the Board judged that holding the stance of monetary policy unchanged at this meeting would be consistent with sustainable growth in the economy and achieving the inflation target over time.