So inflation was already building when the war in Ukraine sent energy, fertiliser, and food prices higher, squeezing household real incomes. This is not just a New Zealand phenomena; around the globe, we're seeing all countries grappling with the same issue. In the US, inflation is running at 8.5 percent; in the UK, it's 9 percent; and, as the Minister of Finance in his Budget address today said, the OECD average is 8.8 percent.