Reserve Bank of Australia Raises Cash Rate by 0.25 Percentage Points

The Reserve Bank of Australia increased the cash rate by 0.25 percentage points on November 10, 2026. This move brings the total interest rate increase for the year to 1.25 percentage points as the central bank attempts to lower persistently high inflation.

Inflation was estimated at 4.3 per cent in September, which exceeds the bank's target range of 2 to 3 per cent. The current unemployment rate in the country stands at 4.7 per cent.

The rate hike creates divergent financial impacts for citizens. Approximately one-third of Australian households with mortgages will face higher repayments. Conversely, the move benefits savers; for instance, an average Australian aged 45 to 54 with more than $50,000 in savings could earn an additional $132 annually.