Interest rate rise ends two-year pause

The Reserve Bank of Australia has ended a two-year hiatus by raising interest rates, sparking a fierce political debate over whether government spending or private demand is fuelling persistent inflation. While the Treasurer defends the budget and points to external pressures, the Opposition and the Greens argue that current policy settings are punishing everyday Australians and ignoring alternative economic levers'

The image of Queen Elizabeth II is seen on an Australian five dollar bank note in Canberra, Australian Capital Territory, Tuesday, March 18, 2025. Following a public call for submissions, an Imagery Selection Panel has chosen “Connection to Country” as the theme for the new Australian $5 banknote design. (AAP Image/Lukas Coch) NO ARCHIVING Source: AAP / LUKAS COCH/AAPIMAGE