Fewer Reserve Bank meetings is a retrograde step for Australian monetary policy, and the central bank is giving up coveted flexibility with its new, leaner schedule, says Yarra Capital Management’s Tim Toohey.

The RBA acted on a recommendation to cut the number of meetings it holds annually to eight, from 11, after an independent review of its operations. The RBA used to meet on the first Tuesday of every month except January; its new calendar is closer to how central banks in the United States, Europe and Canada operate.