The RBA had expected inflation to fall. RBA Gov. Michelle Bullock said that inflation is expected to climb above the target range again when government reliefs expire.

The headline inflation rate has fallen within the Reserve Bank of Australia’s target range for the first time since October 2021.

Australias consumer inflation reached a three-year low in August, driven by falling diesel prices and electricity rebates. Despite this, core inflation remains above the Reserve Bank of Australias 2-3% target,

Australia’s inflation has fallen to its lowest level in three years. According to the Australian Bureau of Statistics, inflation dropped to 2.7 per cent in August – down from 3.5 per cent in July. The decline is partly due to the government’s energy bill rebates,