Latest inflation figures reveal a 17-year high in Australia's rate of inflation at 4.2 per cent in the March quarter, exceeding market forecasts which predicted an annual rate of 4 per cent and prompting renewed fears of further interest rate rises by the RBA to curb unacceptable inflation levels.
Federal Treasurer Wayne Swan said the inflation figures were "sobering".
"I think these inflation figures are a stark reminder of the price pressures hitting Australian families,'' Mr Swan told reporters in Canberra.
"And I think they demonstrate the pain that people are feeling around the kitchen table."
"They're simply unacceptably high, and they underscore the need for a responsible budget that keeps spending under control, and that tackles inflation and interest rates challenges,'' Mr Swan said.
Everyday Australians are feeling the pinch of high inflation with items such as bread, eggs and petrol recording high price rises, not to mention higher mortgage repayments caused by increased interest rates.
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