Australian inflation rate in 1989: 7.43%

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Australian Inflation Rate, 1989-2017 (AU$1)

The consumer price index (CPI) in 1989 was 53.5. the Bureau of Statistics uses this CPI value to track inflation on a monthly basis.

According to the Bureau of Statistics, the dollar experienced an average inflation rate of 2.59% per year. Prices in 2017 are 104.5% higher than prices in 1989.

In other words, AU$1 in the year 1989 is equivalent to AU$2.04 in 2017, a difference of AU$1.04 over 28 years.

The current inflation rate in 2017 is 0.64%1. If this number holds, AU$1 today will be equivalent to AU$1.01 next year.

Inflation from 1989 to 2017
Cumulative price change 104.49%
Average inflation rate 2.59%
Price difference (AU$1 base) AU$1.04
CPI in 1989 53.5
CPI in 2017 109.4


AUD inflation chart from 1922 to 2017


How to calculate the inflation rate for AU$1 since 1989

Start with the inflation rate formula:

CPI in 2017 / CPI in 1989 * 1989 AUD value = 2017 AUD value

Then plug in historical CPI values. The Australian CPI was 53.5 in the year 1989 and 109.4 in 2017:

109.4 / 53.5 * AU$1 = AU$2.04

The "purchasing power" of AU$1 from 1989 is AU$2.04 in 2017.


News headlines from 1989

Politics and news often play an important role in economic performance.

  • Chinese troops kill an estimated 1,000 students protesting at Tiananmen Square.
  • The first (partially) free elections take place in Poland, bringing democracy to Eastern Europe for the first time in 40 years. (Won by the Solidarity Party)
  • The demolition of the Berlin Wall begins.
  • Presidents George H. W. Bush and Mikhail Gorbachev, declare that the Cold War has ended.

Inflation Data Source: The government of Australia's annual (CPI) as provided by the Reserve Bank of Australia. The consumer price index was established in 1922 and is tracked by Australian Bureau of Statistics (ABS).


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