ANZ chief warns global capital pressures pose risks for Australia
Nuno Matos expects an economic slowdown rather than a recession in Australia, but says a disruption to AI investment could have serious consequences.
ANZ chief executive Nuno Matos has told a parliamentary inquiry that Australia faces risks from global competition for capital, with heavy investment in artificial intelligence coinciding with high share prices and rising interest rates.
Giving evidence in Canberra on 12 November 2026, Matos said AI and data centre construction, government spending and stubborn inflation were contributing to a dangerous combination for world markets. He said enthusiasm for technology and AI largely explained record equity market levels.
Matos expected Australian economic growth to weaken noticeably, without the economy contracting. He did not expect a global shock associated with AI investment, but said one remained possible and could leave Australia facing serious economic problems.
Responding to questions from Liberal MP and committee deputy chair Simon Kennedy, Matos said lower spending by either governments or the private sector would relieve inflationary pressure. He also identified renewable energy investment, defence expenditure and AI infrastructure as demands on economic capacity.
Matos said governments should consider how they compete with AI infrastructure for long-term funding. While supporting public intervention during recessions, he favoured private capital taking the lead over the longer term. He offered no specific government spending cuts.
He also urged safeguards and international regulation for AI, warning it could be misused for fraud and scams or to affect critical infrastructure. He said he could not determine whether its overall employment impact would be positive, negative or neutral.
Questioned about ANZ's full-year cash profit of A$7.59 billion, Matos said it had risen 31 per cent on a reported basis and 10 per cent on a real basis. He defended the major banks' contribution to society.
