Australia’s Central Bank Lifts Rates by 0.50bp to 1.35%

Australia’s central bank on Tuesday lifted interest rates for the third consecutive month and said further increases were on the horizon as the country attempts to slow soaring inflation.

The Reserve Bank of Australia (RBA) raised its cash rate by 50 basis points to 1.35 percent at its July policy meeting, bringing the total hike since May to 125 basis points and making this the fastest series of moves since 1994.

“The Board expects to take further steps in the process of normalizing monetary conditions in Australia over the months ahead,” said RBA Governor Philip Lowe in a statement.

The hike was widely expected in markets and the local dollar eased slightly in reaction to $0.6863, according to Reuters.