Shayne

The RW #MSM are shrieking. FOUR. POINT. THREE. PERCENT. "RBA set to act and increase interest rates again!" But NOWHERE in all this squealing do we see a comparison with the Morrison/Frydenberg government, which, incidentally, benefited from almost $7 BILLION* in RBA dividends during its final term. LABOR HAS RECEIVED NOTHING SINCE TAKING OFFICE IN 2022. Read that again. FRYDENBERG'S never-back-in-black budgets benefited from BILLIONS in dividends from the RBA. Albanese and Chalmers? ZERO. WHY, you may ask? Well, here's something worth examining. During COVID, the RBA purchased a staggering $281 BILLION in Commonwealth and state government bonds, substantially REDUCING government borrowing costs. And don't take my word for it. The RBA's own September 2022 review states: "The decline in government bond yields as a result of the BPP purchases in the secondary market led to government debt being issued at a lower (fixed) cost than otherwise." It also acknowledges that the benefits to LNP Morrison/Frydenberg government finances were MATERIAL. And what happened to the RBA's balance sheet after those purchases? A WHOPPING $36.7 BILLION ACCOUNTING LOSS IN 2021–22. The financial consequences of the bond purchases remained on the RBA's books, while the Morrison/Frydenberg government had benefited from lower borrowing costs. That $36.7 billion was effectively shielded from the Frydenberg financial folly. And here's the REALLY interesting bit. The RBA itself acknowledges that the net cost of its Bond Purchase Program would reduce the dividends paid to the government. Which brings us right back to those numbers. MORRISON/FRYDENBERG: ALMOST $7 BILLION. (No Surpluses - just coffee mugs) ALBANESE/CHALMERS: ZERO. (2 Surpluses) And the RBA has subsequently increased interest rates repeatedly, placing enormous additional financial pressure on Australian households. ⛐𖧀 ▓ Funny how that little financial history rarely makes it into the screaming headlines. Video below. THE MEDIA are gaslighting the Australian public. Footnote: The exact figure for RBA dividends paid to the Commonwealth between the May 2019 and May 2022 federal elections was $6.923 billion (A$6,923,000,000), comprising payments of $1.685 billion, $2.567 billion and $2.671 billion. Source: RBA Annual Reports 2021 and 2022. Bond Purchase Program and financial consequences: RBA, Review of the Bond Purchase Program, September 2022; RBA Annual Report 2022. i.e FACTS.