RBA: concerns over future health of Australian economy - UOB

Analysts at UOB Group noted that RBA Governor Lowe commented that Australian financial regulators will consider further prudential measures to restrain home prices.

Key Quotes:

"He also noted that a more durable way of dealing with rising prices & debt is to address the supply side of housing market. He said that financial regulators are concerned about risks to the future health of Australian economy from rising indebtedness and that the new measures on home lending should help pull back the whole system to a more “sustainable position”. He also pointed out that slow wages growth is making it harder for some households to pay down debt."