The RBA will buy $ billion of government bonds over 6 months in the secondary market, purchasing bonds issued by the Australian Government (AGS) as well as by the states and territories (semis). Transmission of Monetary Policy The motivation for these policy actions is to provide support for the Australian economy.
It is complementary to the necessary and welcome significant fiscal stimulus provided by the Australian Government and the states and territories. Its aim has been to deliver low borrowing costs for households, businesses and the government. These low borrowing costs are a necessary precondition to support investment and spending as confidence in the health and economic outlook improves.