The Reserve Bank of Australia decided, in its meeting today, Tuesday, September 7, to keep monetary policy unchanged and to keep the current interest rates at 0.10%. The Bank also decided to continue buying government securities at a rate of $4 billion per week until February next year at least Estimate instead of next November.

And the interest statement from the bank stated that the Australian economy recorded a growth of about 0.7% in the second quarter of this year ending in June, and by 10% over the year, while unemployment rates fell to less than 5%, but the new delta cases came to impose new closure measures to impede the recovery of the economy In Australia, expectations indicate a rise in unemployment rates in the coming months, but the slowdown in economic growth will be temporary, especially with the increase in vaccination rates and the easing of restrictions.

The Board’s decision to extend bond purchases at an amount of $4 billion per week until at least February of next year reflects the delay in the economic recovery and the increased uncertainty associated with the Delta outbreak, and the Board will review its bond purchase program in light of economic conditions and the health situation.

The Australian Reserve Bank is committed to maintaining its monetary policy until the goals of full employment are achieved and inflation reaches the bank’s target, and interest rates will not be raised until the bank sees inflation rates in the target range 2-3% in a sustainable manner. According to the scenario, this condition was not achieved before 2024.

The markets were expecting the bank to postpone the program to reduce its purchases of bonds after the bank reduced it from 5 billion to 4 billion at the July meeting until next November, but it decided to extend the period until February next year 2022 amid the outbreak of the latest Corona virus and the start of a closure in Australia that may affect the state of economic growth.

The Australian dollar against the US dollar is trading close to the opening levels at 0.7435 after testing the 0.7470 levels with the announcement of the statement.