RBA's Stevens statement

The Australian Reserve Bank governor Glenn Stevens said today that interest rates need to be raised as economic conditions are improving and the economy is expanding. Stevens added that the economy would have slipped into deep recession without the A$42 billion stimulus plan and low interest rates that was kept at 3.0% the lowest level in 49 years.

However, Stevens said that the economy is performing better than what the RBA and the government forecasted that will help to narrow the government budget deficit as revenue will increase. Stevens added that the future is looking "brighter" giving signs that more improvements in economic activity may be witnessed in the near future.