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Australia Real Interest Rate

Real interest rate  FR.INR.RINR

Australia's real interest rate was 1.57% in 2019, ranked 15th globally. This represents a 53.2% decrease from 2018. Data from World Bank, covering 1961–2019.

1.57% −1.78pp (-53.2%)
Year 2019 Rank #15 Global Peak 10.09% (1991) Source World Bank

Australia Real Interest Rate (1961–2019)

Overview

Australia's real interest rate stood at 1.57% in 2019, a decline of +1.78pp from 2018. Australia ranked 15th globally.

Australia’s real interest rate in 2019 stood at 1.57 percent, placing the nation 15th in the world according to the World Bank. Over the 59‑year series beginning in 1961, the rate has fluctuated markedly, reaching an all‑time high of 10.09 percent in 1991 before plunging to a trough of –6.01 percent in 1974. The post‑1991 decline reflects a broader shift toward accommodative monetary policy as inflation pressures eased, while the 1970s dip coincided with global oil shocks and stagflation. Compared with peers of similar ranking, Australia’s rate is marginally above Italy’s 1.54 percent and Israel’s 1.59 percent, suggesting a slightly tighter stance than those economies. The modest rise from the early 2000s low to the 2019 level indicates a gradual normalization, but future movements will hinge on the Reserve Bank of Australia’s response to inflation dynamics, fiscal conditions and external shocks, which could steer the rate either higher or lower.

Data & projection

Year Real Interest Rate YoY change Rank
2019 1.57% −1.78pp #15
2018 3.35% +1.81pp #45
2017 1.54% −4.59pp #35
2016 6.14% −0.11pp #64
2015 6.24% +1.77pp #66
2014 4.47% −1.85pp #44
2013 6.32% +1.23pp #74
2012 5.09% +3.64pp #66
2011 1.45% −4.59pp #49
2010 6.04% +5.06pp #82
2009 0.98% −3.17pp #12
2008 4.15% +1.09pp #82
2007 3.06% +0.68pp #54
2006 2.38% −0.93pp #45
2005 3.31% −0.39pp #50
Show all years (1961-2019)

Detected Pattern

Export Boom Cycle
Current account surplus with strong export growth (>15% YoY), reserve accumulation, and moderate GDP growth. Typical of commodity exporters during price surges.
Reserves YoY +36.0% GDP growth 2.0% C/A balance 2.6%
Occurred 768 times, 546 successful
Reserves YoY
+25.6%
GDP growth
4.0%
C/A balance
14.5%
Reserves YoY
+14.6%
GDP growth
3.7%
C/A balance
2.9%
Reserves YoY
+12.8%
GDP growth
43.8%
C/A balance
16.4%
Reserves YoY
+12.6%
GDP growth
6.0%
C/A balance
0.5%
Reserves YoY
+38.3%
GDP growth
5.0%
C/A balance
1.2%
Reserves YoY
+18.0%
GDP growth
2.9%
C/A balance
3.9%

Analysis

Australia matched the Export Boom Cycle pattern in 2021. Historically, 71% of countries showing this pattern (546 out of 768) saw real interest rate improve within 24 months. View full analysis →

Frequently Asked Questions

What is Australia's real interest rate?▾

Australia's real interest rate was 1.57% in 2019. Ranked 15th globally. This represents a 53.2% decrease from the previous year.

What was the highest real interest rate in Australia?▾

Australia's real interest rate peaked at 10.09% in 1991.

What was the lowest real interest rate in Australia?▾

The lowest real interest rate in Australia was -6.01% in 1974.

How does Australia rank in real interest rate?▾

Australia ranks 15th globally in real interest rate as of 2019.

What is the World Bank indicator code for real interest rate?▾

The World Bank indicator code is FR.INR.RINR. Data sourced from World Bank.

What is the real interest rate of Australia in 2019?▾

The real interest rate of Australia in 2019 was 1.57%. This ranks 15th in the world.

Cite this page

APA
Australia Real Interest Rate. HistorySaid. Retrieved October 31, 2026, from https://historysaid.com/australia/real-interest-rate/
BibTeX
@misc{historysaid_australia_real-interest-rate, title = {Australia Real Interest Rate}, url = {https://historysaid.com/australia/real-interest-rate/}, publisher = {HistorySaid}, year = {2026} }
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