News and politics live updates: Albanese rejects apology call over comments about Japanese PM’s melon gift

The Reserve Bank has left interest rates on hold for the second straight meeting but hinted it could still hike rates with inflation expected to remain high until the middle of next year.

In a unanimous vote of all nine monetary policy board members, the cash rate was left unchanged at 4.35 per cent on Tuesday afternoon despite headline and underlying inflation both being above the RBA’s 2-3 per cent target for almost a year.

Interest rates were also left on hold at the June meeting, following three increases in February, March and May.

“The board will continue to do what it considers necessary to bring inflation sustainably back to target, including increasing the cash rate target further if upside risks materialise,” it said.

“While the impact of the Middle East conflict on inflation has so far been less than expected, headline inflation is still too high.”

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Anthony Albanese has brushed off a second question from Liberal MP Mary Aldred in Question Time over whether he should apologise to Japanese leader Sanae Takaichi over his comments about her gifted royal melons on the Bush Deep podcast.

The Prime Minister started to respond by stating that he had a close friendship with the female foreign leader.

“I have a very good relationship with the Prime Minister of Japan,” he said.

“We have met on the sidelines at various forums.

“As well as, I welcomed the Prime Minister of Japan here.

“During that visit, it was a very successful visit, and the relationship has meant that with purchases such as the army crickets in defense, for example, that is…”

His answer was cut off by Liberal Dan Tehan who had called a point of relevance before the PM used the opportunity to conclude his remarks.

Liberal MP Mary Aldred has asked the Prime Minister if he will apologise to Japanese leader Sanae Takaichi over his comments about her gifted royal melons on the podcast Bush Deep.

Ms Aldred asked in parliamentary question time if she would “personally, apologise” to the Japanese PM for what she labelled as “disrespectful behavior”.

It relates to his comments and actions on the podcast last month, which included performing a cupping gesture with both hands in front of his chest after talking about the melons.

“I reject the assertion in the question,” Anthony Albanese said in response.

Mr Albanese added that he and Ms Takaichi were “friends” which had been displayed in her recent visit to Canberra, which is when she had gifted him the melons.

“Australia and Japan have never been closer or more strategic, and my government has taken our special strategic partnership to new heights,” he said.

“And during the recent visit by Prime Minister Takaichi, we announced substantial outcomes, including a joint declaration on economic security cooperation, signaling our resolve to support each other in the face of economic coercion, including to console each other on economic security.

“Prime Minister Takaichi is a friend of Australia and a friend of mine. Together, we’re focused on working together after three bilateral meetings to shape a free and open Indo-Pacific that is peaceful, stable, and prosperous, as demonstrated by the outcomes in the visit.”

Mr Taylor cited today’s ANZ forecast that Sydney house prices could fall by almost 15 per cent, describing the predicted decline as “the worst crash in more than four decades”.

He questioned Prime Minister Anthony Albanese over Labor’s changes to negative gearing and capital gains tax, asking whether the government would admit the changes had left households worse off.

Mr Albanese hit back by pointing to comments from Barefoot Investor Scott Pape, saying even the prominent financial commentator had acknowledged Australia’s housing market had become increasingly unaffordable.

“The barefoot investor, someone who’s well known, not always part of a cheer squad for the government, wrote in the Herald Sun: Average house prices have increased by more than 400 per cent since 2000, partly on the back of taxpayer-funded landlord welfare,” Mr Albanese said.

Mr Albanese argued the long-term rise in property prices had made the traditional Australian dream of home ownership increasingly difficult to achieve.

“I don’t want to be a prime minister who leads a country that sees growing inequality, that sees the opportunity for people to get into their first home as being defined on whether mum or dad can help them.”

Japanese officials have expressed surprise after correspondence between their Prime Minister’s office and Anthony Albanese about his controversial podcast comments was leaked in Australia.

Mr Albanese is facing growing calls to apologise to his Japanese counterpart Sanae Takaichi following jokes he made about the female leader’s melons, a reference to an official gift she brought to Australia earlier this year.

During his now infamous appearance on the Deep Bush podcast, the Prime Minister said he would “shag” popstar Kylie Minogue and joined in on jokes about Ms Takaichi “smuggling” two prized Crown melons into the country.

On Monday evening reports emerged of a diplomatic cable dated July 13, sent by the Japanese government, which “noted” the “sensationalised reporting in the Australian media” about Mr Albanese’s comments in an interview with podcaster Nikki Osborne.

The diplomatic note, reportedly sent to the Department of Prime Minister and Cabinet in Canberra, stated that Tokyo’s belief was that there was no “ill intention” in Mr Albanese’s appearance on the podcast.

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Negotiations around Labor’s gambling reforms are expected to continue throughout the week while key stakeholders await a report from a two-day inquiry which is due next Monday.

Damning evidence of inducements offered to keep people betting was among the fiery testimonies at the Senate inquiry held across August 4-5 into the proposed legislation.

Labor has been locked in negotiations with Greens and Coalition, with Anthony Albanese and Angus Taylor personnel meeting to thrash out a deal.

While Greens spokesperson Sarah Hanson-Young has been meeting with Communications Minister Anika Wells over the gambling reforms.

The reforms and its pathway through the Parliament was a key talking point at the Greens partyroom on Tuesday, with the minor party pushing Labor for stronger amendments which align better with the 2023 Peta Murphy report “You win some, you lose more”.

While the Greens and anti-gambling advocates had urged the government to adopt all recommendations from the Murphy report, the Prime Minister offered a watered-down response during his National Press Club address in April.

The Greens remain confident they’re still in the negotiations game and are privately insisting that Labor is shifting positions in places it previously said it wouldn’t.

The party, however, has accused Labor of still taking advice from the gambling industry in the shaping of its reforms and its approach to negotiated amendments.

It has privately suggested that Labor may be gauging what the industry is willing to accept before drafting amendments.

As of mid-Tuesday morning, the Greens hadn’t yet been presented with any revisions.

It comes as wagering lobbyists are noticeably in Parliament House as all politicians have returned from their five-week winter break.

Anthony Albanese’s frontbenchers have been forced to defend their Labor leader over his comments about the female Japanese Prime Minister’s “melons” on a podcast.

After answering extensive questions about the spread of bird flu in Australia during their Canberra press conference on Tuesday morning, Julie Collins and Murray Watt had to trudge through a string of questions about the Mr Albanese’s appearance on the Bush Deep podcast.

On at least six occasions the ministers were questioned about his joke about two prized Japanese Crown melons which Sanae Takaichi gifted him during an official visit.

Both brushed off the assertion that the Prime Minister’s remarks and actions, which included a cupped hand gesture in front of his chest, were sexual in nature.

“I know the Prime Minister very well, and the Prime Minister’s been very clear that the type of inference that you’re applying there is not what he was (intending),” Ms Collins said.

To which Senator Watt supplemented with: “The Prime Minister has been clear that some media interpretations of that episode of that podcast have been misinterpreted”.

“I do note that the cable that apparently has been sent referred to some of the sensationalised media coverage regarding this, and that’s probably something we should all take into account.”

Minister Watt was then pressed by journalists on why the Prime Minister didn’t defend the female foreign leader against podcast host Nikki Osborne’s crude joke - which compared her gifted edible melons to Pamela Anderson’s breasts.

“Is it appropriate, though, for a man to let a crude joke like that go by without saying anything, without standing up to the woman involved?” one reporter asked.

Senator Watt again said: “We’ve been clear that any statements or the Prime Minister’s participation in that part of that episode has been misinterpreted”.

Mr Albanese hasn’t answered questions about the podcast appearance at a press conference in front of the Canberra press gallery in Parliament House since it aired in early July.

Both Vietnam President Tô Lâm and Prime Minister Anthony Albanese have stressed the need for peace within the Indo-Pacific.

“Australia and Vietnam both want an Indo-Pacific that is peaceful, stable and prosperous,” Mr Albanese said.

Mr Lâm said Vietnam appreciated Australia’s help in “bolstering unity” in South-east Asia, presumably referencing China’s dispute with Vietnam over the South China Sea.

“Regarding regional and international issues, we agree the rapid and complicated developments around the world,” he said.

“Countries need to bolster dialogue, enhance trust, ensure security and safety and freedom of navigation and overflight, and address disputes via peaceful means, in accordance with international law.”

Mr Lâm said he believed the two countries would continue to support each other.

“I am confident that given our shared resolve, our bilateral ties will continue to thrive, fulfilling the interests of the two peoples and contributing to peace, cooperation and development in the region and the world.”

During the Prime Minister’s meeting with Vietnam President Tô Lâm, the pair covered many topics.

Speaking to reporters, Anthony Albanese said they spoke about trade, education, and travel, among other topics.

He said that Vietnam has agreed to provide market access for Australian kangaroo and deer meat.

“This will open up avenues for up $500,000 in trade for Australian exporters,” he said.

Mr Albanese said that he welcomed Vietnam’s investment licence agreement for RMIT University, which would allow the establishment of a new campus based in Hanoi.

It was announced yesterday that Vietjet Air would fly into Western Sydney International Airport from January next year.

“These are practical steps that will bring our countries even closer together,” the Australian Prime Minister said.

Anthony Albanese said he believed Australia and Vietnam’s trade relationship was “stronger than ever”.

Vietnam President Tô Lâm is on his first official visit to Australia.

After their meeting on Tuesday morning, Mr Albanese said the trade relationship between the two countries was important.

“His Excellency and I agreed to deepen cooperation under our comprehensive strategic partnership that we established just last year,” the Prime Minister said.

“We have agreed to a new joint statement on economic resilience.

“At a time when the world is becoming more uncertain, resilient supply chains matter more than ever.

“Whether it is food, energy or critical goods, both our countries have an interest in keeping trade open and reliable.”