Employment growth and the rebound in house prices will see the economy grow just enough to prevent the Reserve Bank of Australia from moving to quantitative easing, Goldman Sachs says.

The global bank's latest economic outlook for 2020 has growth accelerating to around 2.5 per cent in 2020 from 1.75 per cent in 2019.

While the bank expects the RBA will cut interest rates one more time within the next six months it also expects the unemployment rate will fall from 5.3 per cent to around 5 per cent by the end of next year, which should help lift wages growth and underlying inflation.

"We continue to lean towards the RBA reducing the cash rate to 0.5 per cent in the near term before remaining on hold over the next few years, with the pick up in growth and house prices easing pressure to deliver additional stimulus," Goldman Sachs chief economist Andrew Boak said.

"In turn, we don’t expect the RBA to pursue QE and other unconventional measures in 2020."

Quantitative easing – which sees the central bank expand the monetary supply using tools such as purchasing corporate or government securities – has created some anxieties because it lowers the return people receive on their savings, can create imbalances in the economy through asset price inflation and encourage higher leverage from underperforming companies.