Search: Nominal interest rate
RBA Glossary definition for Nominal interest rate
Nominal interest rate – The nominal interest rate refers to the cost of borrowing money before adjustment for inflation i.e. it includes compensation for the expected erosion of the value of the borrowed funds due to inflation. It is the cost visible to the borrower, and is composed of the real interest rate plus inflation.
RBA Glossary definition for interest rate
interest rate – The term used to describe the cost of borrowing money or the return to the owner of the funds which are invested or lent out. It is usually expressed as a percent per annum of the amount of money borrowed, lent or invested.
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Low Interest Rates and Bank Profitability – The International Experience So Far
17 Jun 2021
Bulletin
– June 2021
This article discusses the effect that low interest rates may have on bank profits, and reviews the experience of banks in economies that have had very low interest rates for an extended period.
https://www.rba.gov.au/publications/bulletin/2021/jun/low-interest-rates-and-bank-profitability-the-international-experience-so-far.html
The Relationship Between Financial Indicators and Economic Activity: 1968–1987 | Conference – 1989
31 Dec 1968
Conferences
For interest rates, all significant coefficients are negative, as expected. In other words, a rise in the short-term interest rate is generally associated with a fall in nominal demand, a ... Data for real interest rates are calculated by deducting the
https://www.rba.gov.au/publications/confs/1989/bullock-morris-stevens.html
Note 1 – Summary of Accounting Policies | Financial Statements
2 Sep 2003
RBA Annual Report
– 2003
The pricing of the swap must therefore reflect the interest rates applicable to these money market transactions. ... Interest rates are implicit in the swap contract but interest itself is not paid or received.
https://www.rba.gov.au/publications/annual-reports/rba/2003/fin-statements/note-1.html
Note 1 – Summary of accounting policies | Financial Statements
30 Jun 1998
RBA Annual Report
– 1998
Interest rates are implicit in the swap contract but interest itself is not paid or received. ... Both interest rate futures and foreign currency swaps are off balance sheet items.
https://www.rba.gov.au/publications/annual-reports/rba/1998/fin-statements/note-1.html
The Cost of Inflation in Australia | Conference – 1992
10 Jul 1992
Conferences
In addition, because housing loan interest costs are not deductible, and because nominal housing loan rates might rise in excess of the rate inflation due to the tax-adjusted Fisher effect ... In our benchmark inflation-neutral world, a fully-anticipated
https://www.rba.gov.au/publications/confs/1992/mctaggart.html
Developments in Financial Intermediation | Reserve Bank of Australia Annual Report - 1995
31 Dec 1995
Annual Report
With the jump in corporate leverage in the 1980s, corporate cash flows became much more sensitive to changes in nominal interest rates. ... of the margin between interest rates on standard variable-rate loans and short-term money market interest rates.
https://www.rba.gov.au/publications/annual-reports/rba/1995/develop-fin-inte.html
Domestic Financial Conditions
4 Aug 2023
SMP
– August 2023
Domestic Financial Conditions | Statement on Monetary Policy – August 2023
https://www.rba.gov.au/publications/smp/2023/aug/domestic-financial-conditions.html
Domestic Financial Conditions
10 Feb 2023
SMP
– February 2023
Interest rates on new variable-rate loans remain around 50 basis points lower than rates on outstanding variable-rate loans. ... Graph 3.22. Table 3.2: Average Outstanding Housing Rates. December 2022. Interest rate in Dec 2022.
https://www.rba.gov.au/publications/smp/2023/feb/domestic-financial-conditions.html
Economic Outlook
4 Nov 2022
SMP
– November 2022
However, high inflation and rising interest rates are raising the cost of living and will weigh on households income and spending in real terms. ... In particular, expectations for further increases in interest rates, rising construction costs and
https://www.rba.gov.au/publications/smp/2022/nov/economic-outlook.html
Banknotes
27 Oct 2022
RBA Annual Report
– October 2022
In 2021/22, the amount of interest payments to the banks for this purpose was very low, reflecting the low interest rate environment. ... That said, the opportunity cost of holding banknotes has also fallen in line with low interest rates.
https://www.rba.gov.au/publications/annual-reports/rba/2022/banknotes.html