01.12.202003:04:00UTC+00RBA Keeps Policy Unchanged

Australia's central bank maintained its key interest rate and vowed to keep the record low rate for at least three years.

The policy board of the Reserve Bank of Australia headed by the governor Philip Lowe decided on Tuesday to leave its key rate unchanged at a record low of 0.10 percent.

The central bank holds the target for the yield on the 3-year Australian Government bond at around 0.1 percent and the parameters of the Term Funding Facility and the government bond purchase program.

The board will not increase the cash rate until actual inflation is sustainably within the 2 to 3 per cent target range, the bank said. Given the outlook, the board is not expecting to increase the cash rate for at least three years.

The board will keep the size of the bond purchase program under review, particularly in light of the evolving outlook for jobs and inflation. The board said it is prepared to do more if necessary.