Australian Prime Minister
Australian Prime Minister

A new decision was taken by the Australian government to all citizens through the disbursement of new aid, in the context of the government's eagerness to support the Australian economy.

In a related context, the Central Bank of Australia decided to reduce the interest rate to a record low level, in a move that occurs for the second time in less than a month with the repercussions of the outbreak of corona, and launched a "quantitative easing" program.

In that response, the Reserve Bank of Australia revealed in its monetary policy statement published on its website, Thursday, that it had decided to reduce the country's main interest rate by about 25 basis points (0.25 percent) to 0.25 percent.

The interest rate in Australia stands at the lowest level in the country’s history, as it comes after a 25 basis point cut early this month.

The Australian Central Bank also launched a bond purchase program, for the first time ever, with the Australian government's 3-year bond yield set at 0.25 percent.

Also, the Australian government has also launched a package of tax reductions and reduced them, in the context of the government's eagerness to support the Australian economy.

Policymakers revealed during the statement that the Coruna virus is a public health problem first and foremost but it has very significant impacts on the economy and the financial system.

In their conversation, they added that during yesterday's meeting, this stimulus package was agreed to support the Australian economy during this difficult period.

According to the statement, the Australian central bank believes that at some point the virus will be contained and the economy will recover, but until that happens the bank will support jobs, income and companies until the country is well positioned to recover strongly.

In a separate statement, the Australian government said it might purchase A $ 15 billion of mortgage-backed securities and other assets within the next twelve months.

By 8:38 AM GMT, the Australian dollar was down against its US counterpart, by about 0.8 percent, to record $ 0.5726.

The currency of Australia fell the lowest 60 US cents yesterday for the first time since 2003, with the declaration of a state of emergency in the country by "Corona".

It should be noted that all government in the world at the present time taking new measures in order to support its economy for fear of the collapse of the economy after the outbreak of the Corona virus.