Sydney Australia skyline

Inflation in Australia

Australia Inflation

Inflation moderates in Q2

Annual inflation came in at 6.0% in Q2, down from Q1’s 7.0% and marking the lowest reading since the third quarter of 2022. Therefore, inflation moved closer to the Reserve Bank’s 2.0%–3.0% target band. The softer reading was mainly due to less pronounced price increases for food, furniture, appliances and clothes.

Meanwhile, consumer prices rose 0.8% over the previous quarter in Q2, down from Q1’s 1.4%.

Commenting on the release, Robert Carnell, regional head of research for Asia-Pacific at ING, stated:

“The decline in inflation should accelerate again over the turn of the year, with big spikes in inflation last year (November and December) on the back of bad weather and also spiking holiday-related prices (hotels, airfares) due to pent-up re-opening demand and labour shortages. We can’t rule out similar gains this year, though we would hope that they would be of a smaller magnitude than last year, enabling further inflation declines as we head into 2024.”

Australia Inflation Chart

This chart displays Inflation Rate (CPI, annual variation in %) for Australia from 2013 to 2022.

Australia Inflation Data

2018 2019 2020 2021 2022
Inflation (CPI, ann. var. %, aop) 1.9 1.6 0.8 2.9 6.6
Inflation (CPI, ann. var. %, eop) 1.8 1.8 0.9 3.5 7.8
Inflation (PPI, ann. var. %, aop) 1.8 1.8 0.1 2.2 5.7

Free sample report

Interested in economic reports, analysis and data? FocusEconomics provides data, forecasts and analysis for hundreds of countries and commodities. Request your free sample report now.

Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest