The benchmark interest rate in Australia was last recorded at 3.60 percent. This dataset provides - Australia Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

A comparison of the Australian target cash rate and the overnight interbank lending rate shows that, after around a decade of being identical, the economic impact of the coronavirus (COVID-19) pandemic led to the actual overnight lending rate being lower than the Reserve Bank of Australia's target rate. This means that banks are lending to each other at lower rates than the "official" interest rate. One reason for this is the that the Reserve bank has made money available to banks in several new ways over this period (such as repo agreements where banks can pledge assets for short term funds), increasing liquidity in the banking system. As of June 2025, the overnight interbank cash rate and the target cash rate stood at **** and **** percent, respectively.

The Reserve Bank of Australia's (RBA) cash rate target in-part determines interest rates on financial products.

The 'RBA Interest Rate Decision' is a monetary policy event where the Reserve Bank of Australia (RBA) sets the official cash rate, influencing borrowing costs and economic activity.-2025-12-08

Key information about Australia Long Term Interest Rate

• Australia Government Bond Yield: Australian Government: 10 Years was reported at 4.23 % pa in Oct 2025, compared with 4.30 % pa in the previous month.
• Australia Long Term Interest Rate data is updated monthly, available from Jul 1969 to Oct 2025.
• The data reached an all-time high of 16.50 % pa in Aug 1982 and a record low of 0.80 % pa in Oct 2020.
• Long Term Interest Rate is reported by reported by Reserve Bank of Australia.

• In the latest reports, Australia Short Term Interest Rate: Month End: Bank Acceptance Bills Rates: 90 days was reported at 3.66 % pa in Nov 2025.
• The cash rate (Policy Rate: Month End: Cash Target Rate) was set at 3.60 % pa in Nov 2025.
• Australia Exchange Rate against USD averaged 1.53 (USD/AUD) in Oct 2025.

The 'RBA Interest Rate Decision' is a monetary policy event where the Reserve Bank of Australia (RBA) sets the official cash rate, influencing borrowing costs and economic activity.-2025-05-19

Interbank Rate in Australia remained unchanged at 3.60 percent in October. This dataset provides - Australia Three Month Interbank Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

The 'RBA Interest Rate Decision' is a monetary policy event where the Reserve Bank of Australia (RBA) sets the official cash rate, influencing borrowing costs and economic activity.-2025-02-17

In September 2025, global inflation rates and central bank interest rates showed significant variation across major economies. Most economies initiated interest rate cuts from mid-2024 due to declining inflationary pressures. The U.S., UK, and EU central banks followed a consistent pattern of regular rate reductions throughout late 2024. In September 2025, Russia maintained the highest interest rate at 17 percent, while Japan retained the lowest at 0.5 percent. Varied inflation rates across major economies The inflation landscape varies considerably among major economies. China had the lowest inflation rate at -0.3 percent in September 2025. In contrast, Russia maintained a high inflation rate of 8 percent. These figures align with broader trends observed in early 2025, where China had the lowest inflation rate among major developed and emerging economies, while Russia's rate remained the highest. Central bank responses and economic indicators Central banks globally implemented aggressive rate hikes throughout 2022-23 to combat inflation. The European Central Bank exemplified this trend, raising rates from 0 percent in January 2022 to 4.5 percent by September 2023. A coordinated shift among major central banks began in mid-2024, with the ECB, Bank of England, and Federal Reserve initiating rate cuts, with forecasts suggesting further cuts through 2025 and 2026.

Key information about Australia Policy Rate

• Australia cash rate (Policy Rate: Month End: Cash Target Rate) was set at 4.10 % pa in Feb 2025, compared with 4.35 % pa in the previous Jan 2025.
• Australia Policy Rate averaged 4.75 % pa and is updated monthly, available from Aug 1990 to Feb 2025.
• The data reached an all-time high of 14.00 % pa in Sep 1990 and a record low of 0.10 % pa in Apr 2022.

• In the latest reports, Australia Short Term Interest Rate: Month End: Bank Acceptance Bills Rates: 90 days was reported at 4.25 % pa in Jan 2025.
• Its Long Term Interest Rate (Government Bond Yield: Australian Government: 10 Years) was reported at 4.48 % pa in Jan 2025.
• Australia Exchange Rate against USD averaged 1.49 (USD/AUD) in Jun 2023.
• Its Real Effective Exchange Rate was 100.34 in Jan 2025.

The 'RBA Interest Rate Decision' is a monetary policy event where the Reserve Bank of Australia (RBA) sets the official cash rate, influencing borrowing costs and economic activity.-2025-11-03

The Finance sector's operating environment was previously characterised by record-low interest rates. Nonetheless, high inflation prompted the Reserve Bank of Australia (RBA) to hike the cash rate from May 2022 onwards. This shift allowed financial institutions to impose higher loan charges, propelling their revenue. Banks raised interest rates quicker than funding costs in the first half of 2022-23, boosting net interest margins. However, sophisticated competition and digital disruption have reshaped the sector and nibbled at the Big Four's dominance, weighing on ADIs' performance. In the first half of 2025, the fierce competition has forced ADIs to trim lending rates even ahead of RBA moves to protect their slice of the mortgage market. Higher cash rates initially widened net interest margins, but the expiry of cheap TFF funding and a fierce mortgage war are now compressing spreads, weighing on ADIs' profitability. Although ANZ's 2024 Suncorp Bank takeover highlights some consolidation, the real contest is unfolding in tech. Larger financial institutions are combatting intensified competition from neobanks and fintechs by upscaling their technology investments, strengthening their strategic partnerships with cloud providers and technology consulting firms and augmenting their digital offerings. Notable examples include the launch of ANZ Plus by ANZ and Commonwealth Bank's Unloan. Meanwhile, investor demand for rental properties, elevated residential housing prices and sizable state-infrastructure pipelines have continued to underpin loan growth, offsetting the drag from weaker mortgage affordability and volatile business sentiment. Overall, subdivision revenue is expected to rise at an annualised 8.3% over the five years through 2024-25, to $524.6 billion. This growth trajectory includes an estimated 4.8% decline in 2024-25 driven by rate cuts in 2025, which will weigh on income from interest-bearing assets. The Big Four banks will double down on technology investments and partnerships to counter threats from fintech startups and neobanks. As cybersecurity risks and APRA regulations evolve, financial institutions will gear up to strengthen their focus on shielding sensitive customer data and preserving trust, lifting compliance and operational costs. In the face of fierce competition, evolving regulations and shifting customer preferences, consolidation through M&As is poised to be a viable trend for survival and growth, especially among smaller financial institutions like credit unions. While rate cuts will challenge profitability within the sector, expansionary economic policies are poised to stimulate business and mortgage lending activity, presenting opportunities for strategic growth in a dynamic market. These trends are why Finance subdivision revenue is forecast to rise by an annualised 1.1% over the five years through the end of 2029-30, to $554.9 billion

Australia Foreign Exchange Transactions: RBA: Other Outright data was reported at 295.000 AUD mn in Mar 2025. This records a decrease from the previous number of 647.000 AUD mn for Feb 2025. Australia Foreign Exchange Transactions: RBA: Other Outright data is updated monthly, averaging 205.000 AUD mn from Jan 1995 (Median) to Mar 2025, with 363 observations. The data reached an all-time high of 11,994.000 AUD mn in Aug 2021 and a record low of -6,786.000 AUD mn in Jan 2024. Australia Foreign Exchange Transactions: RBA: Other Outright data remains active status in CEIC and is reported by Reserve Bank of Australia. The data is categorized under Global Database’s Australia – Table AU.KA005: Official Reserve Assets & Foreign Exchange Transactions. ‘Other outright’ transactions include the Reserve Bank of Australia’s outright transactions with other central banks, international financial institutions which are not intended to affect the exchange rate, clients other than the Australian Government, and interest received on holdings of foreign assets. Prior to 2015, the series is computed using a different methodology. The changes in the calculations were mainly due to a change to the treatment of repos, derivatives and gold. [COVID-19-IMPACT]

The 'RBA Interest Rate Decision' is a monetary policy event where the Reserve Bank of Australia (RBA) sets the official cash rate, influencing borrowing costs and economic activity.-2025-09-29

The 'RBA Interest Rate Decision' is a monetary policy event where the Reserve Bank of Australia (RBA) sets the official cash rate, influencing borrowing costs and economic activity.-2025-07-07

Banks are grappling with a transition from years of loose monetary policy to tighter financial conditions. Soaring inflation prompted an RBA pivot in the face of surging energy, housing and food prices. The RBA hiked the cash rate multiple times from May 2022 to November 2023. Prior to this, banks cashed in on high residential housing prices, with low interest rates and government schemes encouraging strong mortgage uptake over the course of the pandemic. APRA also eased the interest rate buffer in 2019, before raising it in 2021. Interest hikes have pushed up banks' incomes over the past few years. Meanwhile, banks' interest deposit expenses and funding costs have also risen while elevated interest rates have dampened industry profit margins over the past few years. Overall, industry revenue is expected to expand at an annualised 9.3% over the five years through 2024-25, to $259.2 billion. This includes an anticipated slump of 8.3% in 2024-25, as inflationary pressure shows signs of easing, the cash rate easing, weighing on interest income. As banks passed on cash rate rises through higher interest rates, the RBA's policy approach has had a cascading effect on the economy. There’s a lag before these hit customers, with some fixed-rate mortgages gradually rolling over through 2023 and 2024. Banks are securing more interest income from existing loans but must manage inflated borrowing costs and bigger payouts on deposit accounts. Residential housing prices are set to stabilise, while heavy mortgage payments will price out some potential homeowners. Banks will be monitoring consumer spending amid inflationary pressures and spiralling borrowing costs. APRA has strengthened rules for managing interest rate risks, effective from October 2025. The updated Prudential Standard APS 117 requires major financial institutions to implement robust frameworks to manage these risks effectively. The big four will need to keep up with rapid technological change, managing cyber security as consumers embrace online financial services. Competition isn't easing up as smaller technology-focused firms disrupt the finance sector and foreign banks tap into the Australian market. Revenue is projected to climb at an annualised 0.3% over the next five years, to total $262.6 billion in 2029-30.

The statistic shows the inflation rate in Australia from 1987 to 2023, with projections up until 2030. The inflation rate is calculated using the price increase of a defined product basket. This product basket contains products and services, on which the average consumer spends money throughout the year. They include expenses for groceries, clothes, rent, power, telecommunications, recreational activities and raw materials (e.g. gas, oil), as well as federal fees and taxes. In 2023, the average inflation rate in Australia was at about 5.62 percent compared to the previous year. Australia's economy Australia has one of the world’s largest economies and is a significant global importer and exporter. It is also labeled as one of the G20 countries, also known as the Group of Twenty, which consists of 20 major economies around the globe. The Australian economy is highly dependent on its mining sector as well as its agricultural sector in order to grow, and it exports the majority of these goods to eastern Asian countries, most prominently China. Large quantities of exports have helped Australia maintain a stable economy and furthered economic expansion, despite being affected by several economic obstacles. Australia’s GDP has seen a significant increase over the past decade, more than doubling its value, and experienced a rather quick recovery from the 2008 financial crisis, which indicates that the country experienced economic growth as well as higher productivity. One of the primary reasons is the further development of the nation’s mining industry coupled with the expansion and success of many Australian mining companies.

Inflation Rate in Australia increased to 3.80 percent in the fourth quarter of 2025 from 3.20 percent in the third quarter of 2025. This dataset provides the latest reported value for - Australia Inflation Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Bank Bill Swap Rate in Australia increased to 3.67 percent on Monday December 1 from 3.66 in the previous day. This dataset includes a chart with historical data for Australia Bank Bill Swap Rate.

The yield on Australia 10Y Bond Yield rose to 4.63% on December 2, 2025, marking a 0.07 percentage points increase from the previous session. Over the past month, the yield has edged up by 0.28 points and is 0.33 points higher than a year ago, according to over-the-counter interbank yield quotes for this government bond maturity. Australia 10-Year Government Bond Yield - values, historical data, forecasts and news - updated on December of 2025.