Taxpayer-Funded Rebates, Public Transport Subsidies Drive Inflation to 3-Year Low

While inflation has fallen within the target 2 percent range, the RBA chief has already warned that this would likely be temporary.

Pedestrians and shoppers move through the central business district (CBD) in Sydney, Australia on Aug. 6, 2024. Lisa Maree Williams/Getty Images

Inflation in August has dropped to its lowest point in three years.

According to the latest figures from the Australian Bureau of Statistics, annual headline inflation fell to 2.7 percent last month, down from a 3.5 percent increase in July.