Australian borrowers have been hit with another round of interest rate hikes after the Reserve Bank of Australia (RBA) raised the official cash rate by 0.25 percent to 4.1 percent, the highest level since April 2012.
This comes after a 0.25 percent increase in May and a brief pause in April.
In delivering the RBA’s decision, Governor Philip Lowe said inflation was still too high, despite passing its peak.
According to the Australian Bureau of Statistics data, the annual inflation rate dropped from 7.8 to seven percent in the March quarter.
However, monthly inflation data, which is a separate economic metric, showed that the consumer price index returned to February’s level of 6.8 percent in April after dropping to 6.3 percent in March….