The treasurer has responded to analysis from the International Monetary Fund (IMF), which urged Australia’s Reserve Bank to lift official interest rates.

The fund said while inflation was easing, it was still too high.

“The IMF makes it abundantly clear that our cost of living plan and our responsible economic management is helping rather than hampering the fight against inflation,” Jim Chalmers told reporters in Queensland today.

He said the report from the fund was “a glowing endorsement” of the Albanese government’s responsible economic management.

“The government is doing exactly what we need to be doing to take the edge off these inflationary pressures to invest in people in the energy transition and housing at the same time as we get the budget in much better nick.”

Chalmers said the report’s key findings showed the government was “helping, not hampering” inflation.

“Fiscal and monetary policy are working closely together so that we can take some of the edge off these inflationary pressures.”

In response to questions about whether the Reserve Bank was expected to raise rates, he said he doesn’t make predictions about the bank’s decisions.

“I don’t preempt decisions taken independently by the Reserve Bank.”

He said the board would meet next Tuesday and would reach their decision then.

“It’s very clear from the IMF report and from the comments of the Reserve Bank governor at estimates last week that the government’s policies and plans are taking some of the edge off inflation rather than adding to it.”

He said it was self-evident the interest rate rises that started before the May 2022 election were “tightening the screws on family budgets”.

“We’re seeing that right around the country and so the Reserve Bank no doubt will weigh all of that.”