Arabic version: تضخم إقليم العاصمة الأسترالية يتجاوز المعدل الوطني ويضغط على الشركات الصغيرة

According to ABC News, household inflation in the ACT rose to 4.7 per cent in the 12 months to September, above the national average of 4.3 per cent. The rise is coinciding with weaker discretionary spending and declining foot traffic for some Canberra small businesses.

Casey Johnston, who runs a burrito business in Tuggeranong with her partner, said sales had been lower than in previous years. She said fewer people were out eating and that casual foot traffic had declined, creating pressure for hospitality operators.

Johnston said the business had been absorbing higher costs for products and rent instead of passing them on to customers. She said the situation could also make staffing difficult when fewer customers were coming through the door.

University of Canberra senior economics lecturer Dr John Hawkins said global oil prices were the main driver of rising inflation. In the ACT, he said fuel, electricity, childcare and school fees, new housing builds and furniture were the biggest contributors, citing Australian Bureau of Statistics data.

Hawkins said the Reserve Bank of Australia was likely to raise interest rates again, with an 80 per cent chance of a 0.25 per cent increase in mortgage costs from the following day. He said higher rates would slow the economy, encourage saving and reduce spending.

Hairdresser Elanor said she had cut back on discretionary spending, including coffees, holidays and eating out. She said clients were still coming to her workplace but were booking appointments less often, while describing Canberra’s cost of living as “skyrocketing.”