Treasurer Jim Chalmers has prepared the way for Tuesday’s expected interest rate rise by pointing to the inflationary pressures from the ongoing Middle East conflict.

Chalmers said Monday that while he wasn’t going to predict the decision of the independent Reserve Bank, there was a near-universal expectation by economists and markets that rates are going up around the world and potentially in Australia, too.

“We will see much more pressure on inflation from developments in the Middle East in particular,” he said.

“Across the major advanced economies, there is an expectation of higher interest rates […] as a consequence of higher inflation coming from principally oil prices but with other considerations and factors, as........

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