Ex-RBA board member says the Australian cash rate may stay around 4.5% for a long time

  • Says surprised people expect Australian interest rates to fall any time soon. The current rate is 4.35%

Warwick McKibbin is a former member of the board of the Reserve Bank of Australia. He served from July 2001 until the end of his term at the end of July 2011.

Via Twitter:

rba Australia cash rate 02 February 2024 2

I guess the question is what is 'soon'? I've seen forecasts of an RBA cut in September from a number of analysts. I suspect from the wording of McKibbon's tweet that September is way too soon. Ugh.

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McKibbin is currently an Australian Professor of Economics at the Australian National University

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