Australia’s central bank cut its official cash rate by one percentage point on Tuesday, its fourth reduction in as many months, with economists predicting more cuts next year as the country attempts to stave off recession.

Michael Blythe, chief economist at the Commonwealth Bank of Australia, said the reduction in the cash rate from September’s 7.25 per cent to 4.25 per cent marked the most “aggressive easing cycle” since the early 1990s, the last time Australia was in recession.