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RBA Glossary definition for inflation target

inflation target – A tool to guide monetary policy expressed as a preferred range or figure for the rate of increase in prices over a period. In Australia, the inflation target is between 2 and 3 per cent per annum on average over the course of the business cycle.

RBA Glossary definition for inflation

inflation – A measure of the change (increase) in the general level of prices.

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The Consequences of Low Interest Rates for the Australian Banking Sector

19 Dec 2022 RDP PDF 1588KB
or less? If the central bank is solely focused on achieving its current inflation and unemployment. ... With a constant. inflation target, if the neutral rate is low by historical standards, the nominal policy rate will also.
https://www.rba.gov.au/publications/rdp/2022/pdf/rdp2022-08.pdf

The Term Funding Facility: Has It Encouraged Business Lending?

13 Dec 2022 RDP 2022-07
Sharon Lai, Kevin Lane and Laura Nunn
to 25 basis points; a change in the rate of remuneration of exchange settlement balances to 10 basis points; a target for the 3-year yield on Australian Government Securities (AGS) ... In November 2020, the cost of new funding under the TFF was lowered
https://www.rba.gov.au/publications/rdp/2022/2022-07/full.html
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The Term Funding Facility: Has It Encouraged Business Lending?

8 Dec 2022 RDP PDF 2133KB
target for the 3-year yield on Australian Government Securities (AGS) of around 25 basis points; an. ... with reductions in the cash rate target and 3-year government bond yield target.
https://www.rba.gov.au/publications/rdp/2022/pdf/rdp2022-07.pdf

The Yield and Market Function Effects of the Reserve Bank of Australia's Bond Purchases

24 May 2022 RDP 2022-02
Richard Finlay, Dmitry Titkov and Michelle Xiang
Figure 4: April 2023 AGS Yield and the Introduction of the Yield Target. ... Purchases in $b. Purchases as a share of free float of target bond.
https://www.rba.gov.au/publications/rdp/2022/2022-02/full.html
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The Yield and Market Function Effects of the Reserve Bank of Australia’s Bond Purchases

19 May 2022 RDP PDF 1938KB
yield target appears to have detrimentally affected some aspects of government bond market. ... 3.2 The yield target 8. 3.3 The bond purchase program 9.
https://www.rba.gov.au/publications/rdp/2022/pdf/rdp2022-02.pdf

BA-MARTIN in Detail

18 Jan 2022 RDP 2022-01
Anthony Brassil, Mike Major and Peter Rickards
We assume that, when banks' capital adequacy ratios fall below target (i.e. ... In their framework, capital ratios return to target around 2–3 years from the downturn.
https://www.rba.gov.au/publications/rdp/2022/2022-01/ba-martin-in-detail.html
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Online Appendix: MARTIN Gets a Bank Account: Adding a Banking Sector to the RBA's Macroeconometric Model

13 Jan 2022 RDP PDF 378KB
RDP 2022-01 online appendix
https://www.rba.gov.au/publications/rdp/2022/2022-01/rdp-2022-01-online-appendix.pdf

MARTIN Gets a Bank Account: Adding a Banking Sector to the RBA’s Macroeconometric Model

12 Jan 2022 RDP PDF 1774KB
remaining options for returning their capital adequacy ratios to target are to increase lending. ... details). We assume dividends remain at zero while capital adequacy is below target.
https://www.rba.gov.au/publications/rdp/2022/pdf/rdp2022-01.pdf

Smells Like Animal Spirits: The Effect of Corporate Sentiment on Investment

30 Nov 2021 RDP 2021-11
Gianni La Cava
So having a variety of policy communication channels that target business decision-makers could matter, including speeches, business liaison programs and surveys dedicated to measuring the beliefs and uncertainties of respondents.
https://www.rba.gov.au/publications/rdp/2021/2021-11/full.html
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Smells Like Animal Spirits: The Effect of Corporate Sentiment on Investment

25 Nov 2021 RDP PDF 1696KB
So. having a variety of policy communication channels that target business decision-makers could.
https://www.rba.gov.au/publications/rdp/2021/pdf/rdp2021-11.pdf