The Reserve Bank of Australia has released an important forecast regarding inflation trends over the next three years. The scenario presented indicates that the inflation rate will gradually decline and converge toward more normal levels.
2026 Inflation Rate: Steady Decrease from the First Half to the Second Half
According to reports from the financial information platform Jin10, the Reserve Bank of Australia has provided an outlook for inflation in 2026. Specifically, it expects the Consumer Price Index (CPI) inflation rate in the second quarter of 2026 (April–June) to be 4.2%. Subsequently, inflation pressures are forecasted to ease toward the end of the year, decreasing to 3.6% in the fourth quarter (October–December).
This forecast pattern suggests that inflationary pressures will gradually diminish over the coming months, reflecting the initial effects of monetary policy measures.
From Mid to Long Term: Inflation Rate to Further Slow Down Between 2027 and 2028
The central bank’s projections look even further ahead. By the fourth quarter of 2027, the inflation rate is expected to fall to 2.7%, and by the second quarter of 2028, it is anticipated to decrease further to 2.6%.
These figures clearly indicate that the Reserve Bank of Australia expects a phased and continuous decline in inflation. This process aligns with the goal of approaching the 2% target level set by many advanced economies’ central banks.
Such inflation forecasts are likely to significantly influence future monetary policy decisions. Market participants will use these outlooks as references to adapt to changing economic conditions.
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
The Reserve Bank of Australia forecasts a gradual decline in inflation rates and releases projections until 2028.
The Reserve Bank of Australia has released an important forecast regarding inflation trends over the next three years. The scenario presented indicates that the inflation rate will gradually decline and converge toward more normal levels.
2026 Inflation Rate: Steady Decrease from the First Half to the Second Half
According to reports from the financial information platform Jin10, the Reserve Bank of Australia has provided an outlook for inflation in 2026. Specifically, it expects the Consumer Price Index (CPI) inflation rate in the second quarter of 2026 (April–June) to be 4.2%. Subsequently, inflation pressures are forecasted to ease toward the end of the year, decreasing to 3.6% in the fourth quarter (October–December).
This forecast pattern suggests that inflationary pressures will gradually diminish over the coming months, reflecting the initial effects of monetary policy measures.
From Mid to Long Term: Inflation Rate to Further Slow Down Between 2027 and 2028
The central bank’s projections look even further ahead. By the fourth quarter of 2027, the inflation rate is expected to fall to 2.7%, and by the second quarter of 2028, it is anticipated to decrease further to 2.6%.
These figures clearly indicate that the Reserve Bank of Australia expects a phased and continuous decline in inflation. This process aligns with the goal of approaching the 2% target level set by many advanced economies’ central banks.
Such inflation forecasts are likely to significantly influence future monetary policy decisions. Market participants will use these outlooks as references to adapt to changing economic conditions.