June 16, 2026 — 2:31pmThe Reserve Bank has kept interest rates on hold for the first time this year after three consecutive rate rises as it aims to curb inflation.On Tuesday, the RBA left the country’s official interest rate unchanged at 4.35 per cent in a decision that was widely expected.The Reserve Bank has kept interest rates on hold at 4.35 per cent.Louie DouvisSince February, the Reserve Bank’s three interest rate hikes have added nearly $300 in total to monthly repayments on an average mortgage of $600,000.The bank’s latest decision, aimed at continuing to tackle inflation while ensuring unemployment does not rise too sharply, comes after the latest inflation data showed the consumer price index rose 4.2 per cent in the 12 months to April, slightly slower than the 4.6 per cent in March.Trimmed mean inflation – the Reserve Bank’s preferred gauge of price pressures – rose 3.4 per cent over the same period, continuing to climb faster than the bank’s target of 2 to 3 per cent.The latest labour market figures, meanwhile, showed that unemployment jumped from 4.3 per cent in March to 4.5 per cent in April, hitting the highest rate since November 2021.Ahead of the decision, markets were putting the chance of a rate rise by February next year at 64 per cent, with near certainty of a rate cut by November 2027.RBA governor Michele Bullock will provide more information and take journalists’ questions at a press conference at 3.30pm.From our partners