The Reserve Bank of Australia felt "comfortable" maintaining the interest rate level at the beginning of the month, its latest minutes have revealed.
Keeping the interest rate at its current level at the start of August was a "comfortable" decision for the Reserve Bank of Australia (RBA).
This was revealed in the organisation's minutes from its monetary policy boarding conference, which were released today (August 17th).
The group met on August 3rd and chose to maintain the official cash levels at 4.5 per cent.
And the RBA predicted that the GDP will rise from 3.75 per cent to four per cent in 2011 and 2012, which matched up with its monetary policy statement that was also published earlier this month.
It also pointed out that interest rates on home loans and businesses were average around May and two months later the board were satisfied with the cash levels.
Last week, analysts forecasted that the Commonwealth Bank - which offers a range of credit cards - could implement its own interest rate increase irrespective of the RBA's lack of movement, the Australian reported.
By Joe Letts
