Businesses to ramp up AI usage, cyber security capabilities in 2025: NAB
AI integration is set to accelerate for businesses in 2025, accompanied by increased investment in cyber security, according to the bank’s latest Business Insights.
Almost 1 in 3 businesses (32 per cent) expect to invest in AI this year, while 41 per cent expect to increase their overall adoption of technology to enhance their business, according to NAB's March Business Pulse.
“If 2024 was the year of headlines and hype about the role of AI in everyday life, 2025 will be the year that Australian businesses get serious about putting it to use,” Julie Rynski, NAB executive of metro and specialised industries, wrote.
Businesses were also looking to shore up their cyber security capabilities as they looked to integrate new technologies into their workflows, with 30 per cent looking to invest in cyber security in 2025. Over one-third (35 per cent) of businesses anticipated increased cyber security and scam risks this year.
“For many Australian businesses, AI technology is already ticking away behind the scenes, whether that’s through the suppliers they use or directly integrated into their operations,” Rynski wrote.
“It could be in the form of an automated bookkeeping service they subscribe to, a shipping and logistics platform they rely on, or the software that monitors and operates their plant and equipment.”
NAB expected to see different pricing brackets and strategies come to market this year as business models rapidly evolved alongside emerging technologies.
Most businesses (76 per cent) also expected cost pressures to rise over the coming year, however, 33 per cent anticipated higher revenue.
Businesses with agile operating and trading strategies may be able to achieve growth in tightly priced markets, NAB said.
GDP is expected to grow by 2.25 per cent over 2025 and 2026, driven by an uptick in consumer spending, according to the bank.
The spending uplift is expected to be underpinned by rising household disposable income, supported by a resilient labour market and tax cuts. However, the timing and scale of the consumer spending recovery remains uncertain, and there are risks that the labour market will re-tighten as growth picks up throughout 2025.
NAB predicted that Australian Bureau of Statistics data released Wednesday would show GDP growth of 0.5 per cent over the December quarter, in line with projections made by other major banks.
The bank expected the RBA to remain cautious regarding further interest rate cuts and projected that the cash rate will fall to 3.1 per cent by early 2026.
