Original article by Patrick Commins
The Australian – Page: 1 & 2 : 1-Feb-22

Data from the Reserve Bank of Australia may strengthen the case for tightening monetary policy earlier than anticipated. The nation’s total household debt to income ratio rose to 185 per cent in 2021. This is slightly below the previous peak in 2019, although it is about 25 per cent higher than in 2009, when the central bank last began increasing the cash rate. Meanwhile, the ratio of owner-occupier housing debt to household disposable has risen to a record high of 103 per cent. Brendan Rynne of KPMG expects the RBA to increase the cash rate to 0.25 per cent in November. He adds that the central bank is likely to announce the end of quantitative easing at its board meeting on Tuesday.

CORPORATES
RESERVE BANK OF AUSTRALIAKPMG AUSTRALIA PTY LTD