Although we do not think that the inflation outlook justifies further rate cuts at this point, past experience shows that developments in the real economy can influence monetary policy decisions. |
It's a very good number. The fact that manufacturing bounced back in the last two months of the year will certainly take the pressure off the Reserve Bank to lower rates. |
The strength of domestic demand should continue to be an important driver of monetary policy this year, warranting a degree of caution by the monetary policy committee. |
The strong focus on infrastructure delivery in the budget, together with an intention to improve the quality of government spending, means fiscal policy should ultimately contribute to sustained higher growth in the economy. |