RBA wants new data to show impact of Chalmers subsidies on inflation — Capital Brief

The Reserve Bank of Australia has privately Australian Bureau of Statistics improve the accuracy of its inflation data and develop a new measure that excludes the impact of government subsidies on consumer prices.

Documents released to Capital Brief Disclosures of correspondence between the RBA and the ABS made under the Freedom of Information Act show that the central bank fully supports the proposed plan to publish a comprehensive monthly Consumer Price Index (CPI).

However, the RBA's economics department has also suggested that the ABS could expand the data it publishes to better reflect how government subsidies and taxes affect inflation.

The proposal was made before a disagreement between central bank officials and the finance minister Jim Chalmers on the impact of the recent federal budget on inflation.

The Albanian At the heart of this split were the $3.5 billion in government energy subsidies, as they are expected to push the inflation rate back into the target range of two to three percent.