😀The new system for monetary policy implementation is focused on the plumbing and not the target rate
🔁The transition from excess reserves to ample reserves depends on the banks' demands
📈Monetary policy path depends on inflation and market pressures
🤔The timing and scale of the transition remain uncertain
❓There are uncertainties and risks surrounding the monetary policy path
What is the new system for monetary policy implementation?
—The new system focuses on the plumbing and not the target rate, allowing the transition from excess reserves to ample reserves based on the banks' demands.
What factors determine the path for interest rate changes?
—The path for interest rate changes depends on inflation and market pressures.
When will the transition to the new system occur?
—The timing and scale of the transition remain uncertain.
What are the uncertainties and risks surrounding monetary policy?
—There are uncertainties surrounding the economic forecast and the factors that could impact the monetary policy path.
What is the central forecast for monetary policy?
—The central forecast is based on positive factors, including productivity growth, but there are uncertainties.
00:06The Reserve Bank of Australia is implementing a new system for monetary policy implementation, focused on the plumbing and not the target rate.
02:26The transition from excess reserves to ample reserves depends on the banks' demands, and the timing and scale remain uncertain.
05:21The path for interest rate changes depends on inflation and market pressures.
15:40The timing and scale of the transition to the new system remain uncertain.
16:38There are uncertainties and risks surrounding the monetary policy path.
