By Daniel Hunter

The Reserve Bank of Australia (RBA) has cut interest rates to an all-time low of 2%.

Australia's central bank said rising property prices in Sydney, falling iron ore prices and the strength of Australian dollar were behind the decision to cut rates by 25 points.

In a sign that the decision had worked somewhat, the Australian dollar began to fall against the US dollar after the announcement.

It follows similar moves by central banks in Asia. China, Singapore, Korea and India have all cut interest rates, as has Canada - a country that famously escaped the financial crisis, like Australia.