Australia’s Central Bank Stopped Raising Interest Rates This Month

In March, the Reserve Bank of Australia (RBA) raised its main interest rate to 3.6%. This April, however, the bank decided to keep it unchanged. Central banks use interest rate rises to tame inflation, but rises make it more costly for people and businesses to borrow money. In March, the RBA and 5 other major central banks raised their interest rates including in the US, the UK, Switzerland, Austria and the European Central Bank. The RBA says it has paused to assess the impact of previous raises and there is evidence they are working.