SYDNEY, Feb 13 (Reuters) - Australia's central bank on Tuesday cautioned that any pick up in wage growth was likely to be slow and protracted, weighing on household incomes and spending power amid high levels of debt.
Reserve Bank of Australia (RBA) Assistant Governor Luci Ellis said policy makers were a little more confident that wages and inflation would eventually turn higher.
However, Australia still had more spare capacity than otherdeveloped countries, meaning it would take longer for wages and inflation to accelerate, Ellis told an economics conference.
"Our forecasts are for wage growth to pick up from here, but not immediately and then only gradually," said Ellis.
(Reporting by Wayne Cole; Editing by Sandra Maler)
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