Aussies to lose influence of RBA in overlooked review recommendation
KATTER’S Australian Party MP Bob Katter is disgusted that a review of the Reserve Bank of Australia is recommending removal of the Parliamentary oversight and allowing the central bank to become even more autonomous and out of touch with everyday Australians.
“We had an opportunity here for the RBA to address the soaring cost of living and highly inflated housing market,” Mr Katter said after sitting through a recent parliamentary briefing of the review’s findings.
“Yet we have an organisation that could lead this reform, instead so drunk on power and ego that they are now proposing that their decisions should go unquestioned and unexplained.”
Mr Katter said the overlooked recommendation 1 on page 4 of the RBA review read: “To further support the RBA’s monetary policy independence, the power of the Government to override decisions of the Reserve Bank Board should be repealed.”
Mr Katter said if the RBA had the capacity to “prop up” the big banks, then it should also be capable of investing in nation-building, money-making projects and infrastructure, at the command of the government.
“The principle which allowed the government to override the RBA’s decisions was introduced following great Labor leader Ted Theodore’s directive in 1930 to the then central bank governor to issue new notes and invest in public works to create employment.
“Now, our governments go on about bringing back Australia manufacturing and reconstruction funds, so if they’re real about investing in public works, they’ll give the people of Australia a voice to direct the RBA on its decision making.
“Now, any oversight we had over the RBA is being repealed, and both major parties are willing to accept this recommendation.
He said all the “buzzwords” being reported following the review, including “more transparency” and “accountability” of the RBA board meant little, if the people of Australia through their government had no power over the financial institution.
“Australians are struggling to buy groceries, pay for healthcare, pay electricity, fuel and rent and mortgages, and trusted the RBA to guide them through this financial pain,” Mr Katter said.
