For the fourth consecutive month the Reserve Bank of Australia (RBA) has hiked interest rates as inflation runs rampant.
During the RBA's monthly meeting this afternoon, it increased Australia's interest rate by 50 basis points, or by 0.5 per cent.
The decision brought the cash rate from 1.35 per cent to 1.85 per cent, largely in line with economists' predictions.
This marks the first time the RBA has lifted the rates for four months in a row since the introduction of the two to three per cent inflation target in 1990.
This follows last week's increase in annual inflation, which hit 6.1 per cent, which was its highest level in 21 years since 2001.