CANBERRA, ACT, May 27 -- The Treasurer of Australia issued the following media release:
New figures from the Australian Bureau of Statistics show that inflation moderated in April by more than expected.
The moderation in today's figures was better than the median expectation of the market.
While this tick down in inflation is welcome, it remains much higher than we'd like and that's why it's a big focus for the government.
We already had an inflation challenge in our economy before the conflict in the Middle East, but the war is making it worse and today's data shows that.
Even after recent developments, the impacts of the conflict will continue to linger in the global economy and we're not immune from that here in Australia.
Headline inflation was 4.2percent in the 12months to April 2026, down from 4.6percent in March.
In the month of April, headline inflation was 0.4percent, down from 1.1percent.
Trimmed mean inflation was 3.4percent in the 12months to April 2026, slightly up from the 3.3percent in March but monthly growth was steady.
The results show that the Government's decisive action to slash the fuel excise is helping to take some of the sting out of price pressures from the conflict.
Automotive fuel fell 7.0percent in April, after rising 32.8percent in March. Treasury analysis shows that our cut to the fuel excise reduced headline inflation by around ½ of a percentage point.
While fuel was a big driver of the moderation in today's data, it wasn't the only driver. There was also a welcome moderation in rent and food inflation.
As inflation moderated in Australia in April, it rose in most major advanced economies. Inflation picked up in April in Canada, France, Germany, Italy and the United States.
Inflation remains much lower than we inherited.
When we came to office, headline inflation was north of sixpercent and rapidly rising, it's now much lower than that.
Underlying inflation was around fivepercent but it is now much lower.
We understand that people are under pressure which is why we are rolling out responsible cost of living relief including cutting taxes five times in three ways, cuts to the fuel excise and cheaper medicines.
The Australian economy is not immune from global uncertainty and volatility, but we're well placed and well prepared to confront it with faster growth than any major advanced economy at the end of last year, low unemployment, solid wages growth and stronger public finances.
The Budget we handed down this month delivered smaller deficits, less debt and net policy decisions that improve the bottom line and help keep the pressure off inflation.
We've made a lot of progress in the economy, but the job's not done because people are still under pressure and that's why helping with the cost of living and addressing inflation continue to be a primary focus for the government.
Disclaimer: Curated by HT Syndication.
