Supermarket giant Woolworths announced on Wednesday that it was increasing its fuel levy by 19.88 per cent, driving up prices at the till.

3AW Mornings host Tom Elliott said that the Reserve Bank’s reaction to raise interest rates in response to this inflation was “a dumb policy”.

Press PLAY to hear Elliott explain why he thinks the Reserve Bank’s interest rate policy is ‘dumb’

“Putting up interest rates is precisely the wrong policy, and yet that is what the Reserve Bank is doing,” he said.

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