Interest Rates goes up ... But Will It Be Able to Restrain Inflation?

The Reserve Bank of Australia has raised the official cash rate by 50 basis points, and it is the fifth rise in a row.

The Reserve Bank of Australia Source: AAP / AAP / Bianca De Marchi

For Australians, the Reserve Bank of Australia's [RBA] rate hike — the fifth consecutive increase in as many months — coupled with the skyrocketing cost of living, could make such spending challenging to move forward.

The Reserve Bank board met on Tuesday 6 SEPT and announced the decision to raise interest rates by 50 basis points, bringing the official cash rate from 1.85 per cent to 2.35 per cent. The

An economist from the Motley Fool said given the current climate, R-B-A had no choice but to raise rates.

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