RBA's Lowe: “If ever there’s a time to borrow, now is it”
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In an interview with Australian TV, ABC, to be aired later on Monday, the Reserve Bank of Australia (RBA) Governor Phillip Lowe said, "we shouldn't be worried" about government debt.
He added: "It's the right thing to do... we have the capacity to borrow, our interest rates are as low as they've ever been, the Australian Government has a long record of responsible fiscal policy, so the budget accounts are in reasonable shape. And if ever there's a time to borrow, now is it."
"I gave an outline to them of my thinking, and they've done exactly the same with me," Lowe said.
AUD/USD reaction
RBA Governor Lowe’s upbeat remarks appear to bode well for the aussie, as it helps AUD/USD recover some losses to trade around 0.6350.
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