Natalie Barr grills Reserve Bank of Australia over Kmart dig: Central bank backlash over thousands spent on soirees while raising interest rates

Natalie Barr has slammed a Reserve Bank staffer for saying it was ‘unattractive’ to shop at Kmart as backlash continues to mount against the central bank.

The Sunrise host was stunned by the “derogatory” comment made in an email sent by an RBA staff member.

The internal email was one of several documents released following a freedom of information request.

Documents show the RBA spent thousands of taxpayers’ money on parties as it raised interest rates for millions of Australians.

An email from a staff member touched on the topic of buying Christmas decorations and lamented having to shop at Kmart or Big W discount stores.

“A member of staff raised concerns about the expense, then on the Christmas party he said, ‘I know it doesn’t sound appealing, but Kmart and BIG W have some good Christmas decorations. at an affordable price,” Barr said Monday.

The documents also reveal that outgoing RBA boss Philip Lowe hosted an intimate reception to bid farewell to Australian Prudential Regulatory Authority chairman Wayne Byres.

Tandoori chicken skewers and bottles of shiraz were among the food and drinks offered at the event.

The RBA then held a special board dinner in Hobart a month later, racking up a food bill of $13,700 and an alcohol bill of $4,000.

Dr Lowe had just raised the cash rate to 2.85 per cent, from just 0.1 per cent seven months earlier.

“Higher interest rates and higher inflation are putting pressure on the budgets of many households,” Dr Lowe wrote in a statement after the hike.

“The Board expects to raise interest rates further in the coming period.”

The central bank also suggested setting up a “photo booth with funny hats” for its Christmas party.

Outrage was sparked by the revelations as the taxpayer spending came at a time when the RBA was in the process of raising interest rates.

Sunrise host Natalie Barr (pictured) posed the disparaging question to Tanya Plibersek, who said ‘any public institution has to be very careful how they spend their money’

The Reserve Bank of Australia kept its key rate at 4.1 percent, its highest level in 11 years, for the second consecutive month in August.

But since May 2022, rates have risen 12 times, which is the most dramatic pace of monetary tightening since 1989.

National MP Barnaby Joyce joined the mobilization against the RBA following the announcement of his lavish parties.

“Come on, come on, it’s other people’s money and you need to be more transparent about it,” he told Barr.

Labor Environment and Water Minister Tanya Plibersek was quick to reject the RBA as well.

Ms Barr particularly took issue with a staff member’s email, saying: ‘A member of staff actually raised concerns about the expense and then for the Christmas party he said ‘I know this doesn’t ‘doesn’t look appealing, but Kmart and BIG W have good Christmas decorations at an economical price’

Dr Lowe has previously sparked outrage by raising interest rates as he continues to live a life of luxury.

“Any public institution has to be very careful how it spends its money,” she said.

“If you are completely satisfied with the money you spend on lunch, a $4,000 grog bill and a $13,000 food bill, then be sure to publish it in the newspapers the the following day.

“And of course you wouldn’t do that. I have no problem with them taking their lunches and dinners, we’re not that stupid. It is a professional organization.

Dr Lowe has previously sparked outrage by raising interest rates as he continues to live a life of luxury.

In March, he took the time to visit Bonnie Doon Golf Club in Pagewood, Sydney’s eastern suburbs, to enjoy a round on the green.

Club membership fees start at $9,700, with golfers also paying an annual fee of $3,350 – but that would have little impact on Dr Lowe’s overall wealth.