Inflation in Australia hits 32-year high

Inflation in Australia was 7.8 percent in the final quarter of fiscal 2022. Inflation in Australia rose to a 32-year high of 7.8 percent in the final quarter of fiscal 2022, the fastest pace since March 1990. The rise was driven by higher prices for food, automotive fuel and new home construction, according to the Australian Bureau of Statistics. Prices rose the most in domestic and international travel-related costs, rising 13.3 percent and 7.6 percent respectively. Economists had forecast inflation would rise by 7.5 percent, below the Reserve Bank of Australia’s forecast of 8 percent. Goods prices rose 9.5 percent, slightly less than the previous quarter’s 9.6 percent, and the cost of services rose 5.5 percent, the highest since 2008.