RBA Keeps Interest Rates Steady Amid Ongoing Inflation Concerns

The Reserve Bank of Australia's (RBA) monetary policy board left interest rates unchanged at 4.35% in a unanimous decision on August 11, 2026.

This move was widely expected by economists and money markets, despite inflation remaining above the RBA's target range of 2-3%. The bank's preferred quarterly trimmed mean measure came in at 3.6%, undershooting its previous forecast of 3.8%.

The RBA still expects inflation to remain above 2.5% until early 2028, and another consideration for the bank is the rapidly deteriorating housing market, which could weigh on household consumption and economic growth.