Australia's central bank leaves cash rate on hold at 1.5 percent

    Source: Xinhua| 2018-11-06 13:24:20|Editor: Chengcheng
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    SYDNEY, Nov. 6 (Xinhua) -- The Reserve Bank of Australia (RBA) will leave the interest rate on hold at 1.5 percent for the 27th consecutive month.

    Despite RBA Governor Philip Lowe saying in the accompanying policy statement that the Australian economy has performed well over the past year, slower growth in export resources along with "low growth in household income" and high debt levels have influenced the decision to leave interest rates unchanged.

    The RBA board also pointed to "low" inflation as another reason not to move interest rates.

    Another major factor in the decision is a recent slow down in the nation's housing market.

    "Conditions in the Sydney and Melbourne housing markets have continued to ease," Lowe said.

    "Credit conditions are tighter than they have been for some time," he added.

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