RBA Holds Key Rate at 3.5% as Prior Cuts Buoy Growth: Economy

Australia’s central bank kept interest rates unchanged at a 2 1/2-year low, saying its recent reductions in borrowing costs will help the economy weather a more subdued global outlook.

Governor Glenn Stevens and his board left the overnight cash-rate target at 3.5 percent, the Reserve Bank of Australia said in a statement in Sydney today. The decision was predicted by all 28 economists surveyed by Bloomberg News.