Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Hansard source

I thank Senator Williams for his question. After 10 interest rate rises under the Liberals the Rudd government wants to see interest rates as low as possible. At times like this it is critical that fiscal policy and monetary policy are working in tandem to strengthen the Australian economy and to protect households. We do not comment on future movements in rates; that is a matter for the independent RBA. However, let me be clear: we understand that families, pensioners and small business operators are under pressure from the global financial crisis. That is why we have acted early and decisively to strengthen our economy. It is also why we wholeheartedly welcomed the substantial rate relief delivered by the Reserve Bank in recent months. We have also delivered the Economic Security Strategy, and that relief was vital for families and vital for the strength of our economy. For those reasons we expect banks to pass on any future official interest rate cuts in a timely manner.

Australians can take heart from the fact that both the government and the RBA are doing their bit to strengthen the Australian economy and protect jobs in the face of the global financial crisis. We will not hesitate to take further action to strengthen growth and limit the impacts of the global financial crisis. Already, the Treasurer today and yesterday has made it abundantly clear that we expect the full benefits to be passed on to— (Time expired)