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Australia AI Boom to Fuel Inflation

Australias artificial intelligence investment boom will likely drive near term inflation as productivity benefits take time to emerge. Former RBA official Jonathan Kearns expects further rate hikes.

FILE PHOTO: Letters spelling "AI", a keyboard and a robotics hand in this illustration taken, September 23, 2026.

Australia's artificial intelligence investment boom will accelerate inflation in the near term, leaving the central bank limited room to overlook price pressures, according to former official Jonathan Kearns.
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