RBA"s lavish $80,000 Christmas party amid rising interest rates

In December 2022, the Reserve Bank of Australia hosted a lavish Christmas party at the Sofitel Sydney Wentworth, costing over $80,000. This extravagant event took place amidst a backdrop of rising interest rates, with the RBA having increased rates multiple times since May 2022. The guest list included 650 bank staff, but only 575 attended, resulting in an additional cost of over $8,000 for no-shows. The menu featured gourmet dishes and premium beverages, with the food and drink bill exceeding $70,000. The RBA's spending on the Christmas party drew criticism, especially as many Australians faced financial strain due to ongoing cost-of-living increases. Former Labor strategist Kos Samaras highlighted the disconnect between the RBA's lavish spending and the struggles of everyday Australians, suggesting that such actions could damage the bank's reputation. The event included entertainment costs of around $10,000, further emphasizing the opulence of the gathering. In addition to the Christmas party, the RBA allocated funds for other events, including an $11,000 International Women's Day celebration featuring a keynote speaker. The bank also spent nearly $23,000 on promotional merchandise to enhance its brand image and attract new staff. This included items like stress balls and branded clothing, which some may view as unnecessary expenditures during a financial crisis. The RBA's spending decisions have raised questions about its priorities and sensitivity to the economic challenges faced by Australians. Critics argue that such lavish events are inappropriate during a time when many are struggling to make ends meet, further complicating the public's perception of the bank's role in the economy.