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Row over Government Role Fuelling Inflation, Rate Rise

Unexpected inflation at 3.4% core rate pressures Reserve Bank of Australia to raise interest rates amid strong jobs market and increased private spending.

Summary by PerthNow
Spending blow-outs by the government will force the Reserve Bank to hike rates, critics say, but the treasurer argues the private sector is driving inflation.

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ABC Australia broke the news in Australia on Wednesday, January 28, 2026.
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