Artificial intelligence could push up Australia's neutral interest rate level, making it harder for the Reserve Bank the lower rates further.
The whereabouts of the neutral rate - the interest rate level that neither slows down nor speeds up the economy - has been a much-debated topic as traders speculate when the central bank will end its easing cycle.
In a speech on Wednesday, the RBA's head of international department Penelope Smith said while neutral rates around the globe were gradually falling until the COVID-19 pandemic, since then multiple estimates have posited the neutral rate has remained steady or risen.
