Reuters poll: RBA to keep interest rates unchanged in April

According to a Reuters poll, the Reserve Bank of Australia (RBA) is expected to keep interest rates unchanged at its April meeting as it awaits clearer signs of easing inflation. However, economists surveyed still anticipate two rate cuts later this year.

In February, the RBA eased monetary policy for the first time in four years. Since then, however, the central bank has adopted a cautious stance toward further rate cuts.

Rate cuts typically stimulate economic activity by lowering the cost of loans and mortgages. However, overly aggressive easing risks overheating the housing market, a key concern for voters ahead of Australia's general election in May.

Inflation has stabilized within the RBA’s target range of 2–3%. Nevertheless, the core CPI reading of 3.2% remains concerning. Given low unemployment and accelerating GDP growth, the central bank is likely to adopt a more gradual approach to monetary easing than its global peers.