Reserve Bank of Australia

About Reserve Bank of Australia

The Reserve Bank of Australia was established in 1960, separating central banking from the Commonwealth Bank which became a commercial bank. The RBA manages monetary policy, financial stability, and the payments system. Australia avoided recession for 29 years from 1991 to 2020, partly attributed to RBA management. The RBA pioneered inflation targeting in the early 1990s. During COVID 19, the RBA implemented yield curve control like the Bank of Japan. The RBA faced criticism for being too slow to raise rates during the 2022 inflation surge. The RBA is undertaking a comprehensive review of its monetary policy framework.