Lowest inflation since Covid, but will the RBA act?

Inflation is at its lowest level since March 2021, and below the RBA’s target in five capital cities. If there isn’t a rate cut coming soon, Greg will be absolutely flummoxed. 

On this episode of Dollars & Sense, Greg and Elinor unpack how the latest inflation figures only make it more obvious the RBA should have cut interest rates at their last meeting, and why some people who are unemployed are not looking for work (and it’s not because they’re ‘dole bludgers’). 

This discussion was recorded on Thursday 31 July 2025 and things may have changed since recording. 

Host: Greg Jericho, Chief Economist, the Australia Institute // @grogsgamut 

Host: Elinor Johnston-Leek, Senior Content Producer, the Australia Institute // @elinorjohnstonleek 

Show notes: 

Take a deep dive into the inflation numbers and the RBA’s decision not to cut rates seems inexplicable by Greg Jericho (July 2025) 

Wrong call – RBA rate hold unfairly dashes borrowers’ hopes for relief, the Australia Institute (July 2025) 

Our PBS is a national treasure, not an international trade barrier, the Australia Institute (April 2025) 

Theme music: Blue Dot Sessions 

We’d love to hear your feedback on this series, so send in your questions, comments or suggestions for future episodes to podcasts@australiainstitute.org.au. 

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