RBA’s Hauser Warns Inflation Is ‘Too High,’ Can’t Let It Persist

Australia’s central bank Deputy Governor Andrew Hauser warned that inflation is still “too high” and remains a significant challenge for the interest-rate setting board, which can’t allow it to go on much longer.

Some of the renewed price strength “reflects growing underlying pressure about pick up in demand against supply constraints in the economy,” the Reserve Bank’s No.2 official said in a fireside chat in Sydney on Wednesday. “If that’s true, the risk is higher inflation may persist, and we can’t let that happen.”