RBA chases the inflation genie again as rate hikes gather momentum

The RBA Board is now realising that maintaining credibility in its inflation fight is more important than remaining fixated on full employment, writes KPMG Australia Chief Economist Brendan Rynne.

The Reserve Bank of Australia (RBA) Board has lifted the cash rate by a further 0.25 percent, the Central Bank's third consecutive increase this year, taking the cash rate to 4.35 percent, a level not seen since November 2023. The latest rise will unfortunately not come as a huge surprise to many economists and the broader Australian public. RBA officials have spent much of the time since the last meeting in mid-March telling anyone and everyone that the cash rate was on the way up. The fu...

Sign in below or register now to read the full article

Authors: Brendan Rynne

Published Date: 06 May 2026