Australian inflation rate in 2020: 1.90%

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Inflation in 2020 and its effect on dollar value

$1 in 2019 is equivalent in purchasing power to about $1.02 today. The dollar had an average inflation rate of 1.90% in the last 12 months. As a result, the real value of a dollar has been decreasing recently. Purchasing power decreased by 1.90% in 2020 compared to 2019. On average, you would have to spend 1.90% more money in 2020 than in 2019 for the same item.

This means that today's prices are 1.02 times higher than average prices since 2019, according to the Bureau of Statistics consumer price index. A dollar today only buys 98.04% of what it could buy back then.

The 2019 inflation rate was 1.90%. The current year-over-year inflation rate (2019 to 2020) is now 1.90%1. If this number holds, $1 today will be equivalent in buying power to $1.02 next year.

Inflation rate is calculated by change in the consumer price index (CPI). The CPI in 2020 is 116.92. It was 114.74 in the previous year, 2019. The difference in CPI between the years is used by the Bureau of Statistics to officially determine inflation.


Inflation from 2019 to 2020
Average inflation rate 1.90%
Converted amount ($1 base) $1.02
Price difference ($1 base) $0.02
CPI in 2019 114.739
CPI in 2020 116.919
Inflation in 2019 1.90%
Inflation in 2020 1.90%
$1 in 2019 $1.02 in 2020

AUD Inflation since 1922
Annual Rate, the Bureau of Statistics CPI
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How to Calculate Inflation Rate for $1 since 2019

Our calculations use the following inflation rate formula to calculate the change in value between 2019 and today:

CPI today CPI in 2019
×
2019 AUD value
=
Today's value

Then plug in historical CPI values. The Australian CPI was 114.73939999999999 in the year 2019 and 116.91944859999998 in 2020:

116.91944859999998114.73939999999999
×
$1
=
$1.02

$1 in 2019 has the same "purchasing power" or "buying power" as $1.02 in 2020.

To get the total inflation rate for the 1 years between 2019 and 2020, we use the following formula:

CPI in 2020 - CPI in 2019CPI in 2019
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

116.91944859999998 - 114.73939999999999114.73939999999999
×
100
=
2%

Data Source & Citation

Raw data for these calculations comes from 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).

You may use the following MLA citation for this page: “Inflation Rate in 2020 | Australia Inflation Calculator.” Official Inflation Data, Alioth Finance, 27 Jan. 2021, https://www.officialdata.org/Australia-inflation-rate-in-2020.

Special thanks to QuickChart for their chart image API, which is used for chart downloads.


Ian Webster

About the author

Ian Webster is an engineer and data expert based in San Mateo, California. He has worked for Google, NASA, and consulted for governments around the world on data pipelines and data analysis. Disappointed by the lack of clear resources on the impacts of inflation on economic indicators, Ian believes this website serves as a valuable public tool. Ian earned his degree in Computer Science from Dartmouth College.

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Inflation from 2019 to 2020
Average inflation rate 1.90%
Converted amount ($1 base) $1.02
Price difference ($1 base) $0.02
CPI in 2019 114.739
CPI in 2020 116.919
Inflation in 2019 1.90%
Inflation in 2020 1.90%
$1 in 2019 $1.02 in 2020