We are having discussions about raising the rate as the block chain gets longer. Minters are transaction processors. Part of the tradeoff for fast confirmation times is an elongated chain. However, a long chain puts a burden on minters who must keep an updated chain. A 5% flat APR may not be enough compensation in the long run, especially considering that the true inflation will be much lower because it may not be worth it to regular users to keep a full chain just to mint on their "spending money".

Be aware that this topic is under careful consideration at the moment.

[addendum]

Also, bear in mind that minting will gradually outpace mining at money creation. So far, about 83% of all potential proof of work (PoW) blocks are gone. At the moment, about 1/2 the blocks are minted by proof of stake (PoS) and 1/2 are minted by PoW. Over time, block creation shifts gradually in favor of minters. It is important to realize that, whether a block is mined or minted, each new block represents one less block to be mined. In other words, there is no set number of mined blocks. Once the block chain reaches designated heights, the mining reward will be reduced until eventually at block 1,100,000 (about 381 days) the mining reward becomes 0, irregardless of how many previous blocks were mined versus being minted.

In other words, the inflation rate right now is a little more than 1/2 the nominal rate because of minting. The long term rate will most likely be somewhat less than 5% because of the burden on minters, most of whom will probably not bother to mint because their holdings are too low and the block chain too long. In the long run, we will work to continue to refine the reward system to minimize inflation but optimize revenues for transaction processors (minters).