"Michael is continuing to have intensive treatment in London, and whilst he is making good progress, he has not improved sufficiently enough to play the game against New Zealand on Wednesday," said CA physiotherapist Alex Kountouris in a statement.
"We will continue to monitor his progress and determine his availability for next week's final group game against Sri Lanka," he added.
Australia will take on a buoyant New Zealand in a must-win game at Edgbaston.
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