(Bloomberg) — Australia’s central bank is prepared to raise interest rates again if needed, Deputy Governor Andrew Hauser said, warning that upside risks to inflation remain a constant source of concern.

“The question now, frankly, for us is have we done enough or is more needed?” Hauser told Australian Broadcasting Corp. in an interview published on its website Tuesday. The ABC said he denied a rate hike was “inevitable” while adding that the Reserve Bank is very focused on bringing inflation down.

The comments come hours after Assistant Governor Sarah Hunter reiterated that the RBA’s rate-setting board views elevated inflation as its top priority and may need to tighten policy further to tackle it.

“They’ve been pretty clear that they don’t really have tolerance for inflation to continue to be” above target for an extended period, Hunter told a conference in Sydney on Tuesday. “If there is a sense that inflation is going to be stronger than we think in the context of our forecast, the board may well have to raise interest rates to tackle that.”

The RBA is under increasing pressure to resume raising rates as soon as this month following strong inflation and economic growth. Money markets are wagering about a 70% chance of a hike in three weeks’ time and fully pricing one at the November meeting.

Still, Hunter cautioned that the July inflation data is monthly and can be volatile, with RBA officials having made clear they prefer to see quarterly reports when judging the state of inflation in the economy.

The RBA has struggled to return inflation to the midpoint of its 2-3% target and only expects to do so in early 2028. If it increases the cash rate to 4.6% from the current 4.35%, that would take it to the highest level in about 15 years.

Hunter was speaking at an Australian Financial Review property summit against the backdrop of a deteriorating housing market that’s being weighed down by tax reforms and rising borrowing costs.

A gauge of national home values fell in August, taking the overall drop from the March peak to 3.6%. HSBC Holdings Plc. on Tuesday upgraded its forecast peak-to-trough drop in property prices to 13% from 8% previously.

Hunter was asked about Sydney residential property developer Bathla Group, which is in talks with creditors to secure funding after it fell into insolvency. The company was contending with a slowdown in sales due to the downturn at a time when construction and funding costs were increasing.

Read more: What Bathla’s Collapse Means for Homebuyers, Deposits: Explainer

Hunter said the RBA is monitoring Bathla in terms of systemic financial stability risks.

“Private credit has been an area that we’ve paid much more attention to recently,” she said. “We don’t, at the moment, see systemic signs of stress, so we can’t see that it’s sort of spreading through our banks and everything else. But it’s certainly something that we’ll keep an eye on.”

Read: One of World’s Longest Housing Booms Is Cracking in Sydney

Hunter also discussed the various monetary policy transmission channels in the housing market. She said that housing turnover is the most immediate, while the wealth effect is relatively small and takes time to impact.

“The third channel that we pay a lot of attention to is construction activity,” she said. “So what does this move in house prices mean for the viability of projects for developers, and how does that come through in terms of new dwelling construction.”

Responding to a question, the assistant governor, who oversees economic forecasting at the central bank, said the RBA doesn’t expect to see a recession in the economy. “That’s not our baseline forecast,” she said.