Australia’s Inflation Now Homegrown: Reserve Bank Boss

‘This shift from mainly supply-driven to mainly demand-driven inflation has been a part of our inflation outlook for some time,’ said RBA governor.

A vendor weighs fresh produce at the Queen Victoria Market in Melbourne, Australia, on July 4, 2023. William West/AFP via Getty Images

Global supply chains and unstable factors in international politics are no longer the main drivers of inflation in Australia, according to the latest insight from the central bank.

Addressing economists at an annual dinner on Nov. 22, Reserve Bank of Australia (RBA) Governor Michele Bullock said inflation was becoming “increasingly homegrown and demand-driven.”