Economists say the party which wins the federal election might have to deal with two more interest rate rises this year.
The prediction follows yesterday's central bank decision to leave rates unchanged for the third straight month at 4.5 per cent.
But economists say the RBA will only hold off on lifting the rate until it gets more data on the rate of inflation, due later in the year, before hiking the rate to five per cent.
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Banks might go it alone: ACCI
Meanwhile, business is concerned that retail banks will independently lift lending rates after the election -- even though the Reserve Bank's left the cash rate unchanged for now.
The central bank kept the cash rate at 4.5 per cent for a third straight month yesterday, in a decision widely expected by economists.
But Greg Evans from the Australian Chamber of Commerce and Industry says there are concerns that non-official interest rate increases by major lenders after the election could dampen the recovery.
PM takes the credit
Prime Minister Julia Gillard says the Reserve Bank's decision to leave interest rates unchanged proves Labor's economic credentials and is a blow on Opposition Leader Tony Abbott's financial skills.
The prime minister says Labor made the better economic choices when the global financial crisis hit.
She says if the government had done what Mr Abbott had advocated then Australia would be in a recession now.
