Australia dollar 5% lower than otherwise in trade-weighted terms, says RBA's Kent

SYDNEY: Australia's massive monetary policy stimulus contributed to the local dollar being as much as 5% lower than otherwise on a trade-weighted basis, a senior central bank official said on Wednesday.

Reserve Bank of Australia (RBA) Assistant Governor Christopher Kent said the policy measures continue to place downward pressure on the Aussie dollar.

The RBA's policy measures include slashing interest rates to a record low 0.1%, an unlimited government bond buying programme targetting three-year yields and a A$200 billion ($154.8 billion) quantitative easing programme targetting longer-term yields.