SYDNEY, June 14 (AFP): The Reserve Bank of Australia (RBA) governor warned today that inflation appeared set to rise next year and remained a medium-term concern, raising the prospect of further interest rate rises.
Reserve Bank governor Glenn Stevens said recent stronger-than-expected economic data had reinforced the bank's inflation outlook.
"As things currently look, inflation is more likely to rise during 2008 than recede," Stevens told a business function in Queensland state.
The central bank lifted interest rates three times in 2006 to a six-year high of 6.25 per cent but has left them on hold since November as inflation has stayed within its 2.0-3.0 target range.
Stevens said the bank still had concerns about inflation in the medium term.
RBA head warns inflation poised to rise
FE Team | Published: June 15, 2007 00:00:00 | Updated: February 01, 2018 00:00:00
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