Borrowers have endured two full years of pain, as rates shot up quickly but started coming down slowly.
People are still hurting, and there's no need to keep inflicting unnecessary additional pain.
"The Australia Institute welcomes the news that the RBA has finally acted by reducing the cash rate by 25 basis points," said Greg Jericho, Chief Economist at The Australia Institute.
"This cut goes some small way to redressing the failure to cut rates at its April meeting.
"Households have been smashed by the rate rises which began in May 2022. Almost half of the increase in cost-of-living pressure on employee households is attributable to interest rate rises.
"The pain of these rate rises continues. In the first three months of this year, spending on retail was flat as households continued to cut back on spending to pay mortgage bills.
"The Reserve Bank should not end here. Over the past year, unemployment has remained at around 4.1%, and yet in that time, inflation has fallen from 3.8% to 2.4%, and private-sector wage growth has fallen from 4.1% to 3.3%.
"There is no wage price spiral. There is no need for unemployment to rise. The Reserve Bank should focus on achieving full employment."
