Speaking at an event in South Australia on Sunday, Anthony Albanese said Australians have reason for optimism with new data showing inflation is at its lowest level over three years, reports Xinhua news agency.

According to official figures published by the Australian Bureau of Statistics on Wednesday, the consumer price index (CPI), the headline measure of inflation in Australia, rose by 0.2 per cent in the third quarter of 2024, spanning from the start of July through the end of September.

It marked the lowest quarterly CPI increase since the three-month period ending in June 2020.

"I know workers, families, and small businesses have all done it hard, but while there are still challenges to meet, still problems to solve, still people under pressure who need our help, when we look at the economy today, we can see new reasons for optimism and new proof the worst is behind us," Albanese said on Sunday.

"Together, we have faced a global storm, and we have navigated it the Australian way."

The CPI rose by 2.8 per cent in the 12-month period to the end of September, the lowest annual figure at the end of a quarter since March 2021.

Australia's annual rate of inflation peaked at a 32-year high of 7.8 per cent in the 12 months ending in December 2022.