Home » RBA releases another cash rate rise for the 6th consecutive month of 2022

Since April this year, interest rates have risen for consecutively, a period of increase that has felt very sudden for all borrowers.

The interest rate rise has increased by 2.25 per cent in five months, the most rapid increase in nearly three decades.

The RBA has decided to increase the cash rate target by a further 25 basis points this month up to 2.60 per cent. 

“CreditorWatch chief economist Anneke Thompson said global factors have played a key role in today’s decision by the RBA, as inflation continues to remain sticky in the US, and currency movements make inflation harder to tame in Australia.”

As unemployment rates and migration statistics rise the RBA will keep a close eye on these and update their decisions accordingly. 

AMP chief economist Shane Oliver said “After five rate hikes in a row the RBA should be slowing the pace of rate hikes to be able to assess the impact of rate hikes to date and allow for monetary policy lags,” said Mr Oliver.

“This means the cash rate will likely need to be raised steadily in the near future with a likely pause early-mid 2023 as the RBA assesses the impact of its tightening strategy.”