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AAP
AAP
Business
Poppy Johnston

RBA admits rates forward guidance faults

The RBA will now default to forward guidance that is "short term and narrative in nature". (Dean Lewins/AAP PHOTOS) (AAP)

The central bank is unlikely to attach dates to future interest rate movement forecasts after the backlash sparked by its cash rate predictions during the COVID-19 pandemic.

As part of a review of its more prescriptive "forward guidance" measures adopted during the pandemic, the Reserve Bank will default to forward guidance that is "short term and narrative in nature".

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