Australia’s Biggest Bank Now Sees First RBA Hike in November ‘22
- CBA says vaccination rate could hit 95% in boost for economy
- Sees RBA winding down bond buying program from February to May
Outside a Commonwealth Bank of Australia (CBA) branch at Martin Place in the central business district of Sydney.
Photographer: Lisa Maree Williams/BloombergThis article is for subscribers only.
Commonwealth Bank of Australia brought forward its forecast for the Reserve Bank’s first interest-rate increase by six months to November 2022 after upgrading its economic outlook in response to the nation’s “remarkably high” vaccination rate.
CBA now sees the economy expanding 3.5% this year, versus a previous 3%, due to the earlier reopening of New South Wales and Victoria states amid rapid vaccination take up, according to a research note released Thursday. The bank also boosted its growth forecast for 2022 to 4.4% from a prior 4%.