The head of Australia’s central bank on Wednesday pledged to do whatever is necessary to bring inflation back to target, warning that risks to inflation are on the upside and households should brace for the pain ahead.
Appearing before lawmakers, Reserve Bank of Australia Governor Philip Lowe said inflation expectations were well anchored for now, but that cannot be taken for granted and entrenched inflation would lead to higher interest rates and unemployment.
Read More : Australian Central Bank Cautions About Inflation Risks, Predicts Challenges for Households