RBA Reduces Cash Rate To 4.10%

The Reserve Bank of Australia (RBA) reduced the official interest rate by 25 basis points to 4.10% following today’s monetary policy meeting.

The move was widely expected, as annual inflation dropped from 3.6% in the September 2024 quarter to 3.2% in December – bringing it closer to the RBA’s target range of 2-3%. The full statement from the RBA is available to read here

Lenders have started announcing reductions to their variable-rate products and we expect most to have responded in the next few days. So far it seems that all lenders who have made announcements have passed on the full rate cut.

We will be closely monitoring lenders updates to their rates, please find rate changes on our website using the following link https://www.hhloans.com.au/rate-cuts.This will be updated every 24 hours.

With the market shifting, it could be a good time to discuss your options as some lenders may make more competitive rate adjustments than others, especially with the ability to negotiate rate discounts.

Looking ahead, it’s possible the RBA will further reduce the cash rate during 2025, but that depends on movements in inflation, unemployment and the wider economy.