The Reserve Bank of Australia raised the cash rate by 25 bps to 0.35% during its May 2022 meeting, larger than market consensus of a 15 bps hike. This was the first rate hike since November 2010, with the board flagging further tightening to come as it seeks to tame surging prices. The central bank said the economy had proven to be resilient while inflation had picked up more quickly, and there was also evidence that wages growth was picking up. The central forecast for the Australian GDP is to grow by 4-1/4% in 2022 and 2% in 2023, it added. Meantime, household and business balance sheets are generally in good shape, an upswing in business investment is underway and there is a large pipeline of construction work to be completed. 2022 headline inflation is projected at around 6% and underlying inflation of around 4-3/4% before easing to around 3% by mid 2024. The committee also increased the interest rate on Exchange Settlement balances from 0% to 25 bps. source: Reserve Bank of Australia
Interest Rate in Australia averaged 3.89 percent from 1990 until 2022, reaching an all time high of 17.50 percent in January of 1990 and a record low of 0.10 percent in November of 2020. This page provides - Australia Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. Australia Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on May of 2022.
Interest Rate in Australia is expected to be 0.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Australia Interest Rate is projected to trend around 2.00 percent in 2023 and 2.25 percent in 2024, according to our econometric models.