Today, the Reserve Bank once again held rates, but retailers have called for an urgent rate cut at the start of 2025.
National Retail Association (NRA) Interim CEO Lindsay Carroll said retailers are relieved that hard and fast rate hikes have become a thing of the past but urge the Reserve Bank to consider a rate cut in the new year.
"Consumer spending is slowly starting to recover, and Australian retailers can peacefully reap the rewards of the silly season to carry them into the new year," Ms Carroll said.
"However, with business investment and productivity at an all-time low, it is imperative that the Reserve Bank starts the new year off with a rate cut at a time when spending is low.
"Silly season sales make up 35 per cent of a retailer's profits for the year, which will help the majority of the sector as they carry themselves through to the quieter months of next year.
"The weight of these interest rates is unprecedented, especially since they've done little to address true inflationary drivers like housing supply and low productivity.
"We call on policymakers to consider the enormous contribution of the retail sector to the health of the Australian economy before they make their decisions," she said.
The National Retail Association represents more than 60,000 stores across Australia. It has been serving businesses in the retail and fast-food sectors for close to 100 years.
