Deposit holders rejoice, and mortgage holders groan, as Australia's third-largest bank and its team of economists have pushed back the timeline of the first RBA rate cut by six months.

Previously, the eggheads at NAB forecast a November 2024 rate cut; now, they don't expect this to happen until May 2025.

This is a strong indicator from the bank, given CBA and Westpac are still pinning their tail on the November donkey, while ANZ's economists only recently moved their forecast to February 2025.

This change in expectation from the NAB economics team came fresh after monthly CPI data delivered an upside surprise, soaring 4.0% in the 12 months to May, up from the previous month’s 3.6% and well above market expectations of a 3.8% rise.


Alan Oster, NAB Group Chief Economist. Source: NAB

"The mix of slow growth and gradual progress on inflation reflects the RBA’s decision to embrace a 'lower for longer' approach – a lower rate peak compared to other advanced economies, resulting in a longer period at that peak," NAB economists noted.

"It is possible the [RBA] Board will change course and raise rates at its August meeting (especially if the Q2 print exceeds expectations) but with the labour market easing we don’t believe their hand will be forced."

That "Q2 print" means inflation data for the June 2024 quarter, which won't be released until late July.

It is generally a more reliable indicator than the monthly release given it contains a bigger basket of goods measured.

The next RBA monetary policy meeting subsequent to that release will be held over 5 and 6 August.


Need somewhere to store cash and earn interest? The table below features savings accounts with some of the highest interest rates on the market.

Update resultsUpdate
BankSavings AccountBase Interest Rate Max Interest Rate Total Interest Earned Introductory Term Minimum Amount Maximum Amount Minimum Monthly Deposit Minimum Opening Deposit ATM Access Joint Application TagsFeaturesLinkCompare
4.40% p.a.
5.75% p.a.
Intro rate for 4 months
then 4.40% p.a.
4 months
  • Bonus rate for the first 4 months from account opening
  • No account keeping fees
  • No minimum balance
1.20% p.a.
Bonus rate of 4.20%
Conditions apply.
5.40% p.a.
4.75% p.a.
5.35% p.a.
Intro rate for 4 months
then 4.75% p.a.
4 months
  • A high-interest online savings account with no monthly fees, easy withdrawals and award-winning digital banking
  • No withdrawal notice periods or interest rate penalties
  • Save up to 10% on eGift cards at over 50 retailers with Macquarie Marketplace
Bonus rate of 5.50%
Conditions apply.
5.50% p.a.
Featured *Rate varies on savings amount
  • Deposit $500 per month to get bonus interest
  • 5.50% p.a. available on total savings up to $100k.
  • 5.00% p.a. applies to savings between $100k-250K.
  • Tiered bonus rates apply. (TMDs at
Important Information and Comparison Rate Warning

All products with a link to a product provider’s website have a commercial marketing relationship between us and these providers. These products may appear prominently and first within the search tables regardless of their attributes and may include products marked as promoted, featured or sponsored. The link to a product provider’s website will allow you to get more information or apply for the product. By de-selecting “Show online partners only” additional non-commercialised products may be displayed and re-sorted at the top of the table. For more information on how we’ve selected these “Sponsored”, “Featured” and “Promoted” products, the products we compare, how we make money, and other important information about our service, please click here. Rates correct as of . View disclaimer.

Photo by Piret Ilver on Unsplash

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