RBA Keeps Rates Steady as Data Centre Boom Drives Economic Growth

The Reserve Bank of Australia (RBA) has kept interest rates steady at 4.35%, according to its August statement on monetary policy.

The RBA upgraded its forecasts for GDP growth in every half-year period to 2028, driven by a surge in business investment linked to data centre spending.

Data centre investment is expected to drive a modest increase in GDP growth, with the RBA forecasting a year-on-year growth of 1.4% in December 2026 and 1.6% in June 2028.

The RBA also flagged that external projections of data centre spending through to 2030 have been revised up, but this is expected to be volatile due to the importation of IT equipment.