Australia Hikes Key Interest Rate to 15-Year High

Australia's central bank has raised its key interest rate to a 15-year high of 4.6 percent, in line with expectations.

The Reserve Bank of Australia board voted unanimously to lift the cash rate by 25 basis points, bringing this year's tightening to one full percentage point.

This is the fourth hike in 2023, and the bank warned that inflation remains too high at 3.6 percent, above its target range of two to three percent.

The Reserve Bank said that some upside risks to inflation are materializing, with energy costs high and productivity weak at home.