Australian dollar falls to fresh 3-1/2-year low

SYDNEY, Jan 24 (Reuters) - The Australian dollar fell to a fresh 3-1/2-year low versus its U.S. counterpart on Friday after Reserve Bank of Australia board member Heather Ridout was reported as saying the currency had not fallen enough.

Ridout was also reported as saying the Aussie dollar at 80 U.S. cents would be a 'fair deal' for the economy. Ridout is a non-executive member of the RBA board and does not speak for the bank on policy.

Still, traders were looking for an excuse to sell the already down beaten Aussie. It fell as low as $0.8694 , having traded around $0.8750 for most of the session. It was on track to post a second week of losses.

(Reporting by Ian Chua; Editing by Jacqueline Wong)

((ian.chua@thomsonreuters.com)(+6129373 1871)(Reuters Messaging: ian.chua.thomsonreuters.com@reuters.net))

Keywords: AUSTRALIA DOLLAR/