RBA: Board is committed to doing what is necessary to ensure inflation returns to target

Board is committed to doing what is necessary to ensure inflation returns to target.

Board is committed to returning inflation to the 2–3 per cent range over time. It is seeking to do this while keeping the economy on an even keel.

Board expects to increase rates further over the months ahead.

Board not on a pre-set path.

Size and timing of future increases will be guided by the data and outlook for inflation and labour market.

Inflation is expected to peak later this year and then decline back towards the  2–3  per cent range.

Medium-term inflation expectations remain well anchored.

An important source of uncertainty continues to be the behaviour of household spending.

Australian economy is continuing to grow solidly and national income is being boosted by a record level of the terms of trade.

The full effects of higher interest rates yet to be felt in mortgage payments.

An important source of uncertainty continues to be the behaviour of household spending.

See further decline in the unemployment rate over the months ahead.

Board will continue to pay close attention to both the evolution of labor costs and the price-setting behaviour of firms.

Expects CPI to moderate as supply-side issues are resolved.

The prospects for global economic development have deteriorated.