The Reserve Bank of Australia has increased its official interest rate to 4.35%, the highest level since 2023, as prices continue to rise at their fastest pace. Governor Michele Bullock stated that Australians are poorer due to the energy crisis linked to the Middle East conflict.
Economic Impact
Federal Treasurer Jim Chalmers acknowledged that the RBA's decision will make it tougher for Australians already paying a hefty price for the war in the Middle East. The rate hike is expected to further strain household budgets.
Victoria's Surplus
Victoria has recorded its first budget surplus since the pandemic, but the state's financial recovery remains uncertain. Debt is forecast to approach $200 billion in coming years amid global uncertainty.
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Other News
- NSW police confirmed the deaths of three people, including two Marine Rescue volunteers, after a boating incident off Ballina. The search was suspended.
- Four Australians are stuck on a luxury cruise ship off Cape Verde after a suspected outbreak of a rare respiratory virus killed three and left others seriously ill. Nearly 150 people are in isolation.
- The search for a missing Australian hiker in the Canadian wilderness has been suspended after six days of air and ground searches.
- Pauline Hanson suggested she may step down from the Senate to run for the House of Representatives at the next election, days before the Farrer byelection.
