Inflation Australia 2021

Average inflation: 2.9%

Current Inflation

Inflation is normal at 2.9%, around the ECB target.

Peak and Trough

The highest inflation was in May at 3.8%. The lowest inflation was in February at 1.1%.

Highest month
May: 3.8%
Lowest month
February: 1.1%
Difference
2.7 percentage points
Months with data
4 of 12

Historical Context

Current inflation is 1.1% higher than the 5-year average of 1.8%.

5-year average
1.8%
10-year average
1.9%
All-time high (2008)
4.3%
All-time low (2020)
0.9%

Trend

Inflation shows an upward trend. Compared to 2020, inflation has risen by +2.0 percentage point.

Change vs. previous year
+2.0 percentage points
Largest monthly swing
May: +4.1 percentage points

ECB Target

Inflation is 0.9% above the ECB target of 2.0%. This means purchasing power is declining faster than intended.

Purchasing Power

At this inflation rate, purchasing power noticeably decreases. Without a salary increase, you can buy less with the same money.

What you could buy for €100 this year will cost approximately €102.90 next year at this inflation rate.

Multi-year trend

Monthly figures 2021

Month overview

Month Inflation Difference vs. 2020
February 1.1% -1.1
May 3.8% +4.1
August 3.0% +2.3
November 3.5% +2.6
Average 2.9%

Data source

Data from OECD. Last updated: 24/11/2025.Not all months available yet.

See also