The Reserve Bank of Australia has warned there are uncertainties about how persistent the pick-up in inflation will be given recent developments in global energy markets and ongoing supply chain problems.
In the minutes of its March 1 board meeting, the RBA said underlying inflation was expected to increase further over coming quarters before moderating as supply chain problems are resolved.
"However, the war in Ukraine and the associated increase in energy prices had created additional uncertainty about the inflation outlook," the minutes released on Tuesday said.
