Central bank governor Michele Bullock was centre stage at Senate estimates on Friday, being quizzed on monetary policy at a time when rising property prices are once again under focus.

Ms Bullock has sought to distance the RBA — and its decisions over recent years — from property price rises, blaming it mostly on the lack of housing supply.

However, during grilling from senators, she did concede that some housing policy settings could exacerbate the problem.

When asked by Liberal senator Andrew Bragg whether she agreed the federal government's First Home Guarantee scheme could result in more people having higher loan-to-value ratios (LVRs) and therefore riskier loans, Ms Bullock said: "yes".

"They still have a much higher loan-to-valuation ratio, which does mean that if they do find th

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