Aussie Foils RBA as Growth Rivals Kiwi, Pound: Australia Credit

Australia is forecast to be among the three fastest-growing economies in the developed world this year, making it harder for the central bank to convince currency investors it isn’t about to raise interest rates.

The Reserve Bank of Australia must differentiate itself from its counterparts in New Zealand and the U.K., which have signaled their economies may need higher borrowing costs, according to Westpac Banking Corp. Australia’s record-low benchmark rate hasn’t stopped foreign-exchange markets driving its dollar up 2.2 percent in the past month, the best performing Group-of-10 currency ahead of the kiwi, the Canadian dollar and the pound.