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Policy Targets Agreement

The Reserve Bank Act requires that price stability be defined in a specific and public contract, negotiated between the Government and the Reserve Bank. This is called the Policy Targets Agreement (PTA). The current PTA signed in September 2012, defines price stability as annual increases in the Consumers Price Index (CPI) of between 1 and 3 per cent on average over the medium term, with a focus on keeping future average inflation near the 2 per cent target midpoint.

Current Agreement:

Policy Targets Agreement 2012 and PDF version (PDF 56KB)
News release 20 September 2012

Previous Agreements

Policy Targets Agreement 2008 and PDF version (PDF 389KB)
News release 19 December 2008
Letter from the Minister to the Governor (PDF 55KB)

Policy Targets Agreement 2007
News release 29 May 2007

Policy Targets Agreement 2002
News release 17 September 2002
Briefing note and related papers 2002

Policy Targets Agreement 1999
News release 16 December 1999

Policy Targets Agreement 1997
News release 15 December 1997
Background note to 1997 PTA

Policy Targets Agreement December 1996
Policy Targets Agreement December 1992
Policy Targets Agreement December 1990
Policy Targets Agreement March 1990

Other Agreements

The Reserve Bank’s Funding Agreement