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Australia’s QE Call Shapes Up as a Cliffhanger With Economists Split

  • Eight economists say QE will end in February, six see tapering
  • Omicron variant of coronavirus adds to uncertainty of outlook
Philip Lowe
Philip LowePhotographer: Brendon Thorne/Bloomberg
Updated on

The Reserve Bank of Australia’s first meeting of 2022 is shaping up as a cliffhanger and leaving economists split over the fate of its bond-buying program as the omicron variant adds to the uncertainty.

Eight of 14 economists expect the RBA will scrap quantitative easing at its Feb. 1 meeting, a survey showed. The other six, including Westpac Banking Corp.’s Bill Evans, see it scaling back from the current A$4 billion ($2.8 billion) weekly pace and ending purchases in May.