Former RBA board member says another rate hike this year 'plausible'
Another interest rate hike this year is "plausible", but not necessarily likely, according to economist Ian Harper, who only left the RBA Monetary Policy Board in August.
Former RBA board member Ian Harper has suggested that another rate hike this year is plausible, though not necessarily likely. Harper, a distinguished economist, served on the RBA board for a decade from 2016, and during his tenure, he never received any attempts from treasurers to influence interest rate decisions. The market is pricing in a one-in-three chance of a follow-up rate hike on November 1st.
Harper explained that the bank's meetings now run over two days, with the governor conducting informal straw polls and discussions among members before making a final decision. The publication of vote tallies has led to only eight unanimous decisions and three split votes in the past year, indicating a typical level of dissent. Harper also ruled out any direct influence by treasurers during his tenure, emphasizing that the government's role is limited to expressing views, rather than directly calling for specific interest rate decisions.
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