Reserve Bank deputy governor Guy Debelle said a lower Australian dollar would be beneficial to support the economy as he outlined the pros and cons of monetary policy options under consideration and delivered a cool assessment on the practicality of negative rates.

In a speech to the Australian Industry Group, Dr Debelle gave further details on the central bank's thinking around increasing longer-term bond purchases, further reductions in interest rates and steps aimed at weakening the currency, which he said was around its fundamental levels.