Australia Inflation Rate
Consumer price inflation, annual % FP.CPI.TOTL.ZG
Australia's inflation rate was 2.58% in 2025, ranked 109th globally. This represents a 18.5% decrease from 2024. Data from World Bank, covering 1960–2025.
Overview
Australia's inflation rate stood at 2.58% in 2025, a decline of +0.59pp from 2024. The IMF projects 2.58% by 2025. Australia ranked 109th globally.
Australia’s inflation rate in 2025 stood at 2.58 %, placing the nation 109th in the world according to World Bank data. Over the 66‑year series that begins in 1960 with a rate of 3.73 %, the country experienced its highest annual inflation in 1974, when prices surged to 15.42 %, and its deepest deflationary episode in 1962, with a negative 0.32 % reading. The contemporary level is closely aligned with peers such as Belgium (2.57 %) and New Zealand (2.74 %), reflecting a broadly moderate price environment across advanced economies. The post‑peak decline from the 1970s’ volatility to the current low‑double‑digit range suggests that monetary policy and a resilient labor market have anchored inflation near the target band. Future movements will likely hinge on external commodity price shocks and domestic wage dynamics, which could either reinforce the present stability or prompt a modest upward shift in the rate.
Data & projection
| Year | Inflation Rate | YoY change | Rank |
|---|---|---|---|
| 2030* IMF | 2.50% | - | - |
| 2029* IMF | 2.53% | - | - |
| 2028* IMF | 2.54% | - | - |
| 2027* IMF | 2.61% | - | - |
| 2026* IMF | 3.02% | - | - |
| 2025* IMF | 2.58% | - | - |
| 2025 | 2.58% | −0.59pp | #109 |
| 2024 | 3.16% | −2.43pp | #101 |
| 2023 | 5.60% | −1.06pp | #91 |
| 2022 | 6.59% | +3.77pp | #72 |
| 2021 | 2.86% | +1.97pp | #80 |
| 2020 | 0.85% | −0.72pp | #70 |
| 2019 | 1.61% | −0.32pp | #74 |
| 2018 | 1.91% | −0.08pp | #74 |
| 2017 | 1.95% | +0.67pp | #85 |
| 2016 | 1.28% | −0.21pp | #94 |
| 2015 | 1.51% | −1.00pp | #104 |
| 2014 | 2.49% | +0.04pp | #105 |
| 2013 | 2.45% | +0.76pp | #96 |
| 2012 | 1.76% | −1.59pp | #36 |
| 2011 | 3.30% | +0.44pp | #58 |
Detected Pattern
Analysis
Australia matched the Export Boom Cycle pattern in 2021. Historically, 71% of countries showing this pattern (546 out of 768) saw inflation rate improve within 24 months. View full analysis →
The reported productivity slump, as highlighted by the NAB boss, suggests Australia's economy may face challenges in absorbing cost pressures, potentially contributing to persistent inflation if output growth lags behind wage increases. While the G8 Education takeover indicates strong investor confidence and asset valuation in a specific sector, this corporate activity does not directly provide broad insights into the overall national inflation rate of 2.58%.
Frequently Asked Questions
Australia's inflation rate was 2.58% in 2025. Ranked 109th globally. This represents a 18.5% decrease from the previous year.
Australia's inflation rate peaked at 15.42% in 1974.
The lowest inflation rate in Australia was -0.32% in 1962.
Australia ranks 109th globally in inflation rate as of 2025.
The World Bank indicator code is FP.CPI.TOTL.ZG. Data sourced from World Bank.
Australia's inflation rate is projected to reach 2.58% by 2025 based on IMF projection.
The inflation rate of Australia in 2025 was 2.58%. This ranks 109th in the world.
Cite this page
@misc{historysaid_australia_inflation-rate,
title = {Australia Inflation Rate},
url = {https://historysaid.com/australia/inflation-rate/},
publisher = {HistorySaid},
year = {2026}
}