The House of Representatives Standing Committee on Economics will tomorrow hold a public hearing with the Governor of the Reserve Bank of Australia, Dr Philip Lowe.

Media release issue date: Tuesday, 1 December 2020

The House of Representatives Standing Committee on Economics will hold a public hearing with the Governor of the Reserve Bank of Australia (RBA), Dr Philip Lowe, on Wednesday, 2 December 2020. The RBA last appeared before the committee in August 2020. At its meeting on 3 November, the RBA Board announced a package of further measures to support the Australian economy as it recovers from COVID-19, comprising: a reduction in the cash rate target, the three-year yield target, and the interest rate on new drawings under the Term Funding Facility to 10 basis points, from the current 25 basis points; a reduction in the interest rate on Exchange Settlement balances to zero from the current 10 basis points; and committing to the purchase of $100 billion of government bonds over the next six months. Committee Chair, Mr Tim Wilson MP, said ‘the committee will be scrutinising the RBA’s measures in response to the COVID-19 pandemic, particularly the move to implement quantitative easing, and how these measures will help the Australian economy recover after a very difficult year.’ ‘We will also be scrutinising the RBA’s recent decision to start work on a digital currency, as well as zoning and planning regulation that is contribution to house price inflation.’ Public hearing details Date: Wednesday, 2 December 2020 Time: 10.00am to 12.00pm Location: Main Committee Room, Parliament House, Canberra The hearing will be broadcast live at aph.gov.au/live. For media comment Mr Tim Wilson MP Electorate: 03 9557 4644 Parliament: 02 6277 2392 For background information Please contact the committee secretariat Phone: 02 6277 4587 Email: economics.reps@aph.gov.au

The House of Representatives Standing Committee on Economics will hold a public hearing with the Governor of the Reserve Bank of Australia (RBA), Dr Philip Lowe, on Friday, 14 August 2020 via videoconference. The RBA last appeared before the committee in February 2020.

Media release issue date: Thursday, 13 August 2020

The House of Representatives Standing Committee on Economics will hold a public hearing with the Governor of the Reserve Bank of Australia (RBA), Dr Philip Lowe, on Friday, 14 August 2020 via videoconference. The RBA last appeared before the committee in February 2020. At its meeting on 4 August, the RBA Board decided to maintain the current policy settings, including the targets for the cash rate and the yield on 3-year Government bonds of 25 basis points. Commenting on the decision, the RBA Governor said that ‘This accommodative approach will be maintained as long as it is required. The Board will not increase the cash rate target until progress is being made towards full employment and it is confident that inflation will be sustainably within the 2–3 per cent target band.’ The RBA Governor added that ‘The Australian economy is going through a very difficult period and is experiencing the biggest contraction since the 1930s. As difficult as this is, the downturn is not as severe as earlier expected and a recovery is now underway in most of Australia. This recovery is, however, likely to be both uneven and bumpy, with the coronavirus outbreak in Victoria having a major effect on the Victorian economy.’ Committee Chair, Mr Tim Wilson MP, said ‘the committee will be scrutinising the RBA’s measures in response to the COVID-19 pandemic. We are interested in learning more about the RBA’s plans to support a strong recovery for the Australian economy.’ ‘There’s never been a more lively time to discuss monetary policy, with reckless proposals for Modern Monetary Theory floated in the media. This hearing will provide a good opportunity for the RBA to outline the shortcomings of such proposals.’ Mr Wilson said. Public hearing details Date: Friday, 14 August 2020 Time: 9.30am to 12.30pm Venue: Videoconference The hearing will be broadcast live at aph.gov.au/live For media comment Mr Tim Wilson MP Electorate: (03) 9557 4644 Parliament: (02) 6277 2392 For background information Please contact the committee secretariat Phone: (02) 6277 4587 Email: economics.reps@aph.gov.au Website: www.aph.gov.au/economics