Saturday, 16 Nov 2024

Four questions Philip Lowe and the RBA need to answer over interest rates

Four questions Philip Lowe and the RBA need to answer over interest rates


Four questions Philip Lowe and the RBA need to answer over interest rates
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Here are four key issues he and his RBA colleagues will likely be asked about during the review of the central bank.

If we are around the inflation peak and peering down the other side, why was Lowe so sure that more rate hikes were still required before a pause?

Business behaviours and profits may also bear more scrutiny, not just their debt levels.

By Wednesday the RBA will have gone two full months without a senior official speaking in public. Granted, there is no January board meeting, but not all senior staff have been on leave, nor were financial markets in hibernation.

RBA executives do meet markets, business and community groups under the Chatham House rule. Lowe attended a lunch with bankers last Thursday in Sydney, as the AFR reported (after participants disregarded those rules). The RBA assistant governor Luci Ellis was due to appear at a similar event on Wednesday but will no longer attend, the bank says.

Lowe might say the RBA has not strayed from its course and more speeches were not essential.

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