BusinessQuiet 9d · day 9
RBA hikes rates fifth time in 2026 as mortgage costs hit pre-GFC levels
Australia's central bank raised rates again amid stubborn inflation, pushing household repayments to their highest since 2008.
What to know
- The RBA raised rates for the fifth time in 2026 in a split decision, bringing mortgage repayments to their highest level since 2007–2008.
- Inflation is now forecast at 4.5 per cent—well above the RBA's 2–3 per cent target—driven primarily by external shocks like oil prices, not domestic economic overheating.
- Real wages are shrinking this year as salary growth of 3.4 per cent lags forecast price rises of 3.7 per cent, squeezing household budgets ahead of Christmas.
“Once the full effect of September's and this week's rate hikes are factored into repayments, Aussie home loan payments will be sitting at the highest level since the pre-Global Financial Crisis period in late 2007 and 2008.”
ABC Australia · ABC Australia ↗
Reserve Bank of Australia Central bank setting monetary policy
The record 2 articles and posts · last 9 days