Michele Bullock: Economic conditions and the Reserve Bank of Australia's transformation

Address by Ms Michele Bullock, Governor of the Reserve Bank of Australia, at the Committee for Economic Development of Australia (CEDA) Annual Dinner, Sydney, 28 November 2024.

The views expressed in this speech are those of the speaker and not the view of the BIS.

I would like to start by acknowledging the Gadigal people of the Eora Nation as the traditional owners and custodians of the land on which we are meeting this evening and pay my respects to Elders, past and present.

Thank you to the Committee for Economic Development of Australia (CEDA) for the opportunity to be here tonight. We share an important mission: promoting economic stability and prosperity in Australia. And we also share objectives around economic research and analysis. Groups like CEDA play a crucial role in uniting various sectors of our economy and community to engage in meaningful discussions and debates about the economic challenges facing Australian households and businesses.

We live in an increasingly complex world, with cost-of-living pressures persisting, technological change accelerating, ongoing conflicts in several zones around the world, and an ever-changing geopolitical landscape.

In the face of these numerous global and domestic uncertainties, both our organisations are confronted with significant challenges. Fundamentally, however, the RBA's role and focus has not changed, and we are ready to meet these challenges head-on.

Tonight, I will present the RBA's analysis of economic conditions both domestically and internationally. I am often asked, 'why aren't we cutting rates yet in Australia?' and so, I will reflect on our monetary policy strategy and how it compares with some of our global peers. I will also provide an update on changes to our monetary policy processes.

While monetary policy is central to the RBA's mandate, our responsibilities encompass a broader range of activities that support the overall functioning of the Australian economy. I will therefore conclude by highlighting some of the initiatives we are undertaking and the transformation underway at the RBA to ensure we are well placed to meet the challenges of today and tomorrow.