According to the latest Westpac Banking Corp (ASX: WBC) Weekly economic report, the bank's economists believe the case for Reserve Bank rate cuts continues to build.
Westpac notes that updates on business and consumer confidence shows the growth slowdown over the second half of last year has carried over into 2019 and is starting to impact decision making.
As a result, the bank is becoming increasingly confident that the Reserve Bank will cut rates in August and November of this year.
Because of this, I think investors ought to prepare for low interest rates to be around for many years to come and consider some of the top dividend shares on offer on the Australian share market.
Three to consider are as follows:
Dicker Data Ltd (ASX: DDR)
Dicker Data is a founder-led wholesale distributor of computer hardware and software in Australia and New Zealand. It recently released its full year results which smashed both the market's expectations and management's guidance. Pleasingly, this strong form is expected to continue in FY 2019 with management providing sales and profit growth guidance of 10%. It also expects to pay a 22 cents per share dividend in FY 2019, which equates to a forward fully franked 5.7% yield.
National Storage REIT (ASX: NSR)
National Storage is one of the largest self-storage operators in the Australia-New Zealand region with a total of 146 centres and a growing pipeline of development and acquisition opportunities. This year the trust's board has provided distribution guidance of between 9.6 cents and 9.9 cents per unit in FY 2019. This equates to a yield of between 5.5% and 5.7% at present.
Rural Funds Group (ASX: RFF)
Rural Funds is a real estate property trust which owns a total of 49 rural properties across six agricultural sectors and multiple climactic zones. Thanks to rental indexation and long leases with high quality tenants, I believe Rural Funds is well positioned to grow its distribution at a solid rate over the next decade. This year it expects to pay a total distribution of 10.85 cents per unit, which equates to a yield of 4.7%.
