In addition, it puts downward pressure on the Australian dollar which is stimulatory for the economy. https://www.rba.gov.au/speeches/2021/sp-dg-2021-05-06.html  3/26  5/6/2021  Monetary Policy During COVID | Speeches | RBA  The Board has reduced the cash rate target to what it assesses to be the effective lower bound of 10 basis points.
The Board has stated that it does not see negative rates as being appropriate in Australia in the current circumstances. I see there are at least two reasons for this. First, there is uncertainty about the efficacy of negative interest rates, including because of the negative effect on savers.