Philip Lowe, Governor of the Reserve Bank of Australia, made the following statement:
- Among the biggest risks facing Australia is something going wrong in China.
- China's biggest threat lies in its financial sector.
- The Reserve Bank of Australia currently holds 5% of the foreign exchange reserves in the Chinese yuan.
- Things are going in the right direction with China.
- It is important to avoid escalating political issues with China.
- We need mechanisms to remove this escalation.
- Keeping interest rates low boosts confidence in the economy.
- Australia will not be affected if China buys more from the United States.
