Commonwealth Bank is forecasting a projected drop in the cash rate by 75 basis points starting in September, with another drop in the second half of 2025.

Carbon Group partner Michelle Maynard told Jaime Burnett on Perth Live there’s significant debate on which direction inflation will flow next year, and for how long.

“The CBA is predicting it will come down quicker and that will hopefully mean a rate cut as well, but if that’s the case you wouldn’t think the Reserve Bank would move,” Ms Maynard said.

Press PLAY to hear more on the state of inflation in 2024