Macroprudential measures possible: Tweet of the day

Macroprudential measures possible: Tweet of the day
Jessie RichardsonNovember 4, 2014

AMP Capital's head of investment strategy and chief economist Shane Oliver says the Reserve Bank of Australia (RBA) still hasn't ruled out macroprudential policy to curb investor spending.

Looking at yesterday's statement from Reserve Bank governor Glenn Stevens, Oliver noted Stevens still made a point of the level of investor activity in Australia's housing market.

In his statement, Stevens said: "Investors continue to look for higher returns in response to low rates on safe instruments. Credit growth is moderate overall, but with a further pick-up in recent months in lending to investors in housing assets. Dwelling prices have continued to rise."

According to the Australian Bureau of Statistics, investment housing commitments rose by 0.9% in August while owner occupier housing commitments fell by 0.1%.

Oliver says the RBA may yet implement macroprudential policies, which would see stricter regulation for lending.

Tags:
Economy

Editor's Picks

Habitat to break ground on The Millwell in Maroochydore
Sekisui House Australia launches Waterstone in emerging St Leonards South precinct
Cedar Woods acquires Fairfield site for new residential development
SMA Projects unveils its luxury penthouse crowning The Regent Fitzroy
5Point’s Ophira uplift puts Palm Beach beachfront centre stage