Australian credit data hits a new high, RBA will continue to hold interest rates
2014-01-31 17: 45: 22
Editor in charge: Catherine
(Report from this newspaper) The Reserve Bank of Australia (RBA) pointed out on Friday that loans from Australian banks and lending institutions to home buyers set the fastest annual growth rate in two years, further confirming that the market will not cut interest rates next week. Guess.
According to data released by the RBA on Friday, the monthly rate of private sector loans in Australia rose by 2013% in December 12, the largest monthly increase since March 0.5. It is expected to rise by 2012% and the previous value by 3%.
RBA data shows that in December 2013, the annual rate of loans lent to the private sector by Australian banks and other lending institutions rose sharply by 12%, which is expected to rise by 3.9%, and the previous value jumped by 3.7%.
In the last six months, the annual rate of credit has grown by 4.3%, higher than the 3.5% increase in the previous six months and the 2.6% increase in the previous six months. The annual rate of credit growth in the last quarter of 2013 was 4.7%. This trend indicates that the Australian credit business has begun to improve, which is what RBA is happy to see.
A large part of the private sector credit growth is due to the conversion of reduced official profits into faster growth in production and employment, and another part is due to the weakening Australian dollar. Although the Australian dollar is still trading around 88 US cents, it has depreciated significantly compared to a year ago. Compared with the average level of US$2011 in 2012 and 1.03, the current exchange rate of the Australian dollar has plunged by 15%.
So the credit data for December will convince the RBA that the current monetary policy is working, although not as fast as many Australian companies and job seekers hope. The RBA's interest rate meeting to be held next week and the next few months may continue to maintain its official interest.
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