Australia raises interest rate to 6 percent

The Australian central bank on Wednesday increased interest rate by 0.25 percentage point to a six-year high of 6.0 percent.

The Reserve Bank of Australia (RBA) hiked interest rate in an effort to head off inflationary pressures in a booming economy. The annual rate of inflation surged to 4.0 percent last month, high above the bank's target range of 2.0-3.0 point.

It was the bank's second interest rate hike since May, when the interest rate was lifted by 0.25 percentage point.

Source: Xinhua