Australian businesses are reporting significant productivity gains after investing in new vehicles, machinery, and technology, with manufacturers and farmers leading the charge, according to new data from Commonwealth Bank of Australia.
The findings show that 87.6% of firms recorded productivity improvements of more than 10% following recent asset upgrades, with larger companies reporting increases of 20 to 50%, driven by more efficient equipment.
CommBank also recorded a 20% year-on-year rise in vehicle and equipment financing in December 2025.
“The end of the year is often an attractive time to purchase, with suppliers offering incentives to move existing stock ahead of new model launches,” said CommBank General Manager of Asset Finance, Renee Theodor.
“This allows businesses to secure better pricing and begin the new year with upgraded equipment ready for work.”
The bank’s data highlights strong growth across sectors critical to Australia’s industrial and regional economy. Compared to December 2024, December 2025 financing increases included agricultural machinery (up 116%), manufacturing and industrial equipment (up 76%), retail and office fitouts (up 64%), technology assets (up 48%), and trucks (up 18%).
Theodor said many businesses are also targeting investments in hybrid and electric vehicles, earthmoving equipment, and office technology to improve efficiency.
Research cited by CommBank indicated that nearly a third of firms were strategically upgrading fleets to drive productivity gains.
Looking ahead, CommBank expects investment and demand for asset finance to continue rising in 2026. “The biggest thing businesses want is speed. On our side, that means fast approvals and certainty when they’re ready to invest,” Theodor said, noting the bank’s ongoing investments in automation to deliver faster approvals and funding.
In a bid to support smaller but high-impact upgrades, CommBank has temporarily lowered its minimum financed amount for eligible customers from $20,000 to $10,000 until 30 June 2026 under the Federal Government’s Instant Asset Write-Off program.
“Smaller assets can still deliver big productivity gains,” Theodor said.
The content of this article is based on information supplied by Commonwealth Bank of Australia (CommBank). For more information, please refer to the official company announcement and communications from CommBank. Please consult a licensed and/or registered professional in this area before making any decisions based on the content of this article.
