Finance Minister Katy Gallagher blasts ‘out of control’ Greens after demand for RBA intervention
Finance Minister Katy Gallagher says the Greens are “crazy” and “out of control” after the party urged the Federal Government to intervene to force an interest rate cut.
The Greens on Monday declared it wouldn’t support Labor’s proposed Reserve Bank reforms until interest rates were lowered.
If the bank doesn’t deliver relief at Tuesday’s board meeting, the party said Treasurer Jim Chalmers must exercise his never-used power to overrule the RBA to lower the cash rate.
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By continuing you agree to our Terms and Privacy Policy.Cutting rates by 25 basis points – taking it to 4.10 per cent – would save homeowners with a mortgage of $641,000 about $1200 per year, according to the Greens.
“The Greens are using our power in Parliament to fight for renters and mortgage holders,” Greens economic justice spokesman Nick McKim said. “The Treasurer has the power to step in, he’s just not using it. The Reserve Bank could act, but they are not acting.” “Mortgage holders are getting smashed right now.”
Senator Gallagher immediately rejected the Greens’ “populist” proposal, which she described as “economically irresponsible”.
“Well, I think the Greens are out of control at the moment and they’re just you know trying to be populist but can cause a lot of damage at the same time,” she told ABC News Breakfast.
“There are good reasons why the Bank is independent and interest rate settings is independent of the political process.”
The fate of the RBA reforms hinge on support from the Greens after the Coalition declared it would vote against them
More to come
