The Reserve Bank of Australia indicated it will take further action to curb inflation, which Deputy Governor Andrew Hauser said remains “too high.” Speaking at a business luncheon Tuesday, Hauser stressed the central bank will “continue to do whatever is necessary” to return inflation to its 2–3% target band. The RBA raised the official cash rate by 25bps last week, reversing an August cut after inflation overshot forecasts. Both headline and core inflation are now above target, with projections showing inflation may not fall back within the band until mid-2027. Hauser said the shift from easing to tightening reflects changing conditions, including a stronger-than-expected global economy and a solid rebound in domestic private demand. He emphasized that the bank’s actions are not about favoring special interests but about easing the burden on households by restoring price stability.
