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Australia Inflation August 2025

Australia: Inflation rises in August from the prior month

Latest reading: Consumer prices increased 3.0% on a year-on-year basis in August, following a 2.8% rise in the prior month and reaching the top of the Central Bank’s target of 2–3%.

Relative to the prior month’s figures, there were higher price pressures for housing and utilities (+4.5% on a year-on-year basis vs +3.6% in July), transportation and communication (+0.4% vs -1.0% in July) and clothing and footwear (+3.0% vs +2.3% in July). In contrast, price pressures reduced for recreation in August(+1.4% vs +2.6% in July). Finally, the variation in food and beverages prices was the same as in the prior month (+3.0% in August and July).

Lastly, consumer prices rose 2.4% in August in annual terms, following a 2.3% rise in the prior month.

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