Inflation (CPI)
4.6%
Annual CPI inflation (ABS)
Source: ABS
Period: April 2026
Fetched: 20 May 2026, 9:12 AM AEST
RBA Cash Rate
Official cash rate updates
Latest Reserve Bank of Australia (RBA) cash rate updates, recent decisions, inflation context, and what they mean for Australian home loan and borrowing costs.
Australian lending indicators
Key economic indicators affecting borrowing costs in Australia.
Lenders set their own rates - use calculators to model scenarios.
See how interest rates affect your repaymentsNext RBA Meeting
16 June 2026
Next scheduled RBA cash rate decision.
Source: RBA
Fetched: 20 May 2026, 9:14 AM AEST
View RBA cash rate pageLast updated: 20 May 2026, 9:14 AM AEST
The RBA adjusts the cash rate mainly to control inflation and stabilise the economy.
Cash Rate Target
4.35%
Effective from 6 May 2026
Up 0.25 percentage points
Last updated 19 May 2026, 3:00 PM AEST
What is the RBA?
The Reserve Bank of Australia is Australia's central bank. It sets monetary policy to help keep inflation and economic conditions stable.
What is the cash rate?
The cash rate is the base interest rate for short-term lending between banks. It influences many lending and savings rates offered to households and businesses.
Does this mean my home loan rate is the same?
Usually no. Banks set their own rates and often price home loans above the cash rate, commonly by around 1.5% to 3.0%, depending on product and borrower profile.
Recent decisions
| Effective date | Target | Change |
|---|---|---|
| 6 May 2026 | 4.35% | Up 0.25 percentage points |
| 18 March 2026 | 4.10% | Up 0.25 percentage points |
| 4 February 2026 | 3.85% | Up 0.25 percentage points |
| 10 December 2025 | 3.60% | No change |
| 5 November 2025 | 3.60% | No change |
| 1 October 2025 | 3.60% | No change |
| 13 August 2025 | 3.60% | Down 0.25 percentage points |
| 9 July 2025 | 3.85% | No change |
| 21 May 2025 | 3.85% | Down 0.25 percentage points |
| 2 April 2025 | 4.10% | No change |
| 19 February 2025 | 4.10% | Down 0.25 percentage points |
| 11 December 2024 | 4.35% | No change |
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RBA cash rate FAQs
When does the RBA change interest rates?
The RBA Monetary Policy Board reviews rates at scheduled meetings and may change the cash rate when inflation and economic conditions warrant it.
How does the cash rate affect mortgage repayments?
Changes in the cash rate can influence lender interest rates, which can raise or lower variable home loan repayments.
Why do banks change rates differently from the RBA?
Banks set retail rates based on funding costs, risk settings, and competition, so their changes may differ from the RBA movement.
How often does inflation affect rate decisions?
Inflation data is a regular input to monetary policy decisions, alongside employment, spending, and broader economic conditions.