Australia’s central bank has revealed that it has lost A$44.9bn ($30bn; £26.3bn) on the bonds it bought as part of its efforts to support the country’s economy during the pandemic.
The Reserve Bank of Australia’s (RBA) deputy governor says that wiped out the bank’s profit for the 2021-22 year, leaving a net loss of A$36.7bn.
The bonds were accumulated under a A$300bn emergency stimulus programme.
However, the bank says the loss will not affect its normal operations.
“If any commercial entity had negative equity, assets would be insufficient to meet liabilities and therefore the company would not be a going concern,” RBA deputy governor Michele Bullock said.
“Since it has the ability to create money, the Bank can continue to meet its obligations as they become due,” she added.
Do you notice how when conservatives win the media always portrays it as a “shock” or “unexpected” or “surprise?” It is their way of continuing to portray conservatives as out of the mainstream or unnatural – as if electoral victories by conservatives are wrong. The only thing that makes it a surprise is that their polls are as biased as their reporting so the reporters didn’t see it coming.
Australia’s ruling conservative coalition is set to secure a governing majority in its shock election victory over the centre-left Labor Party, the national broadcaster ABC projected Monday.
Prime Minister Scott Morrison’s Liberal-National coalition will hold at least 77 seats in the 151-member lower house, one more than needed to govern on its own, ABC’s election analysts projected.
The coalition will not hold a majority in the Senate, the upper house, meaning it will need the support of independents and minor parties to pass legislation.
