3 May 2016

Reserve Bank of Australia slashes OCR to record low

7:08 pm on 3 May 2016

The Reserve Bank of Australia has moved to head off fears about deflation, cutting its official cash rate by 25 basis points to a historic low of 1.75 per cent.

It is the first change in interest rates since May last year, when rates were cut 25 basis points to 2 percent.

The Federal Treasurer Scott Morrison will hand down his first budget later tonight.

-ABC