Reserve Bank of Australia (RBA) Governor Philip Lowe is set to appear before parliament on Wednesday and Friday to answer questions in a hearing into the RBA’s anti-inflation campaign, which has resulted in an astounding 325 basis point increase in interest rates over the past 10 months.
After the most recent increase last week, the central bank added insult to injury by signaling that additional rises will be required to curb inflation, which has reached 30-year highs.
The controversy has fueled media speculation that Lowe may not be reappointed for a second term as governor.
Australian Treasurer Jim Chalmers addressed the broader issue of how the bank communicates the reasoning of its decisions in the context of the review.
“This is one of the things that I’ve been discussing with the RBA Review panel. How they communicate their decisions and the context behind their decisions is one of the key focuses of that,” said Chalmers, appearing on ABC Television.
Chalmers launched the review in July, and it is examining matters such as how the RBA interacts with the public and which inflation targets to adhere to.