According to one of the top-managers of Reserve Bank of Australia, downfall of Australian dollar is yet to be finished despite the fact that AUD was one of the weakest currencies last year. For the last several years it was Australian dollar which dominated over USD but AUD decreased by 15% from its highest level in 2013. Partially it was due to verbal interventions by Central Band of Australia. These were supposed to decrease the value of national currency in order to help exporters who had difficulties selling their goods. What is more, the downfall was because of the fears over Chinese economy and reduction of bond buying program by US Federal Reserve. Central Bank did not change refinance rate and left it on 2,5% which is historical minimum. Finally, in Central Bank of Australia they excluded the probability of refinancing rate to be decreased, because prices increased higher than expected. Central Bank of Australia in its own report did not use “uncomfortably high” level of AUD. According to the bank, if current currency level remains the same it will be considered as a support for economy reorientation.
