Graph 10  Australian Cash Rate Target %  %  16  16  12  12  8  8  4  4  0  1992  1998  2004  2010  2016  0 2022  Source: RBA  We understand that many people are finding the rise in interest rates difficult.
It is necessary, though, to ensure that the current period of higher inflation is only temporary. As I spoke about earlier, if high inflation were to persist, all Australians would pay a heavy price. Given our mandate for price stability and full employment, the Board expects to increase interest rates further over the period ahead. We are not on a pre-set path though.