Outlook 24: inflation, inflation, inflation

The ongoing impact of inflation will be the dominant theme for businesses in our region and around the world as we head into 2024. But there is still some cause for optimism.

Reserve banks globally are continuing to take action to address inflation in a bid to return confidence to consumers and boardrooms – in some regions to limited success.

When markets will see stability on inflation and interest rates is a critical question heading in to 2024 – assuming it is seen in the calendar year at all.

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But all challenges bring opportunities, and at ANZ, we see some key ones in 2024.

First is the transition to net-zero carbon. Boardrooms around the world are focusing on the role they can play in the sustainable economy, not just because governments are encouraging it, but because consumers are demanding it.

At ANZ, we're working closely with our customers to identify the role they will play in the transition and what opportunities exist across the sectors they operate in.

The second area that really gets me excited for 2024 and beyond is role of generative AI.

GenAI is already changing the way businesses think about solving problems. At ANZ, we're thinking about how the technology can change the way we interact with our customers for the better.

Cybersecurity will continue to be a key consideration for all businesses in 2024. When it comes to online security, it is ‘us against them’, and everyone is responsible for protecting themselves and their businesses from the threat of cybercrime and fraud. All organisations need to lean into his challenge in 2024.

In capital markets, the volatility and uncertainty of the current interest rate environment has hurt confidence and activity, as we know these markets like to see certainty. The good news is ANZ is consistently ranked the most reliable and dependable bank for funding, and has the balance sheet to support our customers through this time.

It's not all bad news, but there is a chance business may be in for a bumpy road in 2024. I'm really pleased to say ANZ is willing and able to support our customers through those bumps – and remains firmly open for business in the New Year and beyond.

Tammy Medard is MD, Australia & PNG at ANZ Institutional