Australian inflation under control, says Costello

Inflation in Australia remains moderate and within the government's target range, Treasurer Peter Costello said last night.

Inflation "has averaged 2.6 per cent for the last 10 years, and interest rates remain low. Our macroeconomic performance continues to be impressive and inflation has remained within the target range," Costello said in a speech at a bank seminar in Singapore during IMF/World Bank meetings.

Costello said he had reaffirmed the 2-3 per cent inflation target range with the country's incoming central bank governor, Glenn Stevens.

- REUTERS