Search: basis point
RBA Glossary definition for basis point
basis point – A basis point is 1/100th of 1 per cent or 0.01 per cent, so 100 basis points (bps) is equal to 1 percentage point. The term is used in money and securities markets to define differences in interest or yield. If an interest rate were to increase from 2 per cent to 3 per cent, it is said to have risen by 100 basis points (bps) or one percentage point.
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DSGE Reno: Adding a Housing Block to a Small Open Economy Model
1 Apr 2018
RDP
2018-04
Our starting point is the model in Rees, Smith and Hall ((2016); henceforth RSH). ... function is removed, but the same calibration is used, the housing share of the capital stock falls by around 10 percentage points.
https://www.rba.gov.au/publications/rdp/2018/2018-04/full.html
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Traded-Debt Securities
1 Dec 1994
RDP
9408
Underlying the risk-weighting process is an assumed yield curve shift ranging from 100 basis points at the short end to 60 basis points at the long end. ... This represents the product of the duration weight of 0.7 and the assumed change in yield of 100
https://www.rba.gov.au/publications/rdp/1994/9408/traded-deb-securities.html
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The Term Funding Facility: Has It Encouraged Business Lending?
13 Dec 2022
RDP
2022-07
of around 25 basis points; an increase in the amount and term of repo operations; and the TFF. ... time. Through 2020 and 2021, this difference fell to 1 basis point on average, but ranged between 14 basis points above and 40 basis points below senior
https://www.rba.gov.au/publications/rdp/2022/2022-07/full.html
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How Risky is Australian Household Debt?
25 Aug 2020
RDP
2020-05
Given the very strong theoretical basis to expect a negative coefficient on the real interest rate, in particular, we do not see this result indicating omitted variable bias. ... US policy rates fell by 5 percentage points in the global financial crisis,
https://www.rba.gov.au/publications/rdp/2020/2020-05/full.html
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The Term Funding Facility: Has It Encouraged Business Lending?
8 Dec 2022
RDP
PDF
2133KB
points; a change in the rate of remuneration of exchange settlement balances to 10 basis points; a. ... 14 basis points above and 40 basis points below senior unsecured (domestic) bonds.
https://www.rba.gov.au/publications/rdp/2022/pdf/rdp2022-07.pdf
Credit Spreads, Monetary Policy and the Price Puzzle
1 Jan 2020
RDP
2020-01
All else equal, a 100 basis point decline in money market risk spreads leads to a contemporaneous 60 basis point increase in the cash rate, and a 100 basis point decline ... in risk premia in large business lending rates is met by an 8 basis point cut to
https://www.rba.gov.au/publications/rdp/2020/2020-01/full.html
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Payments System Entry Points | International Comparisons of Bank Branches – An Update – April 1998 | Financial Sector | Submissions
1 Apr 1998
Submissions
Download 199. KB. The 1994 submission noted that comparisons of countries' banking systems on the basis of bank branches were potentially misleading. ... customers at each of its representation points, around 40 per cent of which are in rural communities.
https://www.rba.gov.au/publications/submissions/financial-sector/international-comparisons-of-bank-branches/payments-system-entry-points.html
The Distributional Effects of Monetary Policy: Evidence from Local Housing Markets
14 Feb 2020
RDP
PDF
1878KB
100 basis point increase in cash rate, two-year horizon. Sources: ABS; Authors’ calculations; CoreLogic data; RBA. ... 3.2 basis points larger negative response of housing prices two years after a percentage point.
https://www.rba.gov.au/publications/rdp/2020/pdf/rdp2020-02.pdf
Why Do Companies Fail?
1 Nov 2016
RDP
2016-09
A one standard deviation change in each of the cyclical variables is estimated to change failure probabilities by between 11 and 19 basis points. ... These effects appear small, but are large in the context of our unconditional failure probability of
https://www.rba.gov.au/publications/rdp/2016/2016-09/full.html
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Start Spreading the News: News Sentiment and Economic Activity in Australia
23 Dec 2020
RDP
2020-08
The local projection estimates indicate that an unexpected tightening of monetary policy of 100 basis points is associated with news sentiment declining by about one-half of a standard deviation in ... The effect is not particularly strong given that a
https://www.rba.gov.au/publications/rdp/2020/2020-08/full.html
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