I am pleased to announce the appointment of Dr Philip Lowe as the Governor of the Reserve Bank of Australia (RBA) for a seven-year term from 18 September 2016.
Dr Lowe brings a wealth of knowledge and experience to the role of Governor, having served as the RBA Deputy Governor since early 2012, heading up many of the RBA’s analytical departments, and publishing on a wide range of issues relevant to the operation of monetary policy over his three decade career with the RBA. Dr Lowe also served as Head of the Financial Institutions and Infrastructure Division at the Bank for International Settlements (2000 – 2002), where he authored important research on the financial stability role of central banks in low-inflation environments.
Dr Lowe earned a PhD in Economics from the Massachusetts Institute of Technology after being awarded the University Medal for his undergraduate studies in economics at the University of New South Wales. Dr Lowe is well regarded in the central banking community, financial markets, and the Australian business community, and will reinforce existing confidence in the institution.
I congratulate Dr Lowe on his appointment and also thank Mr Glenn Stevens for his valuable leadership of the RBA over the past ten years. International developments required Mr Stevens to steward the RBA through a challenging decade for the Australian economy, which included the global financial crisis, the passing of a once in a generation terms of trade boom, and the rise and fall of an unprecedented mining investment boom. The Government thanks Mr Stevens and his staff for the role they played in helping the Australian economy navigate these significant challenges over the decade.
I am also pleased to announce the appointment of Professor Ian Harper as a part-time member of the Reserve Bank Board for a five-year term from 31 July 2016.
Professor Harper’s combined experience in public policy development and academia will enable him to make a strong contribution to Reserve Bank Board deliberations. Professor Harper recently Chaired the Competition Policy Review (Harper Review), served as a member of the Financial System Inquiry (the Wallis Inquiry), and was the inaugural Chairman of the Australian Fair Pay Commission.
Professor Harper also brings strong academic credentials to the Reserve Bank Board, having spent two decades as a Professor at the University of Melbourne – first as the NAB Professor of Monetary and Financial Economics (1988–1992), then as the Ian Potter Professor of International Finance (1992–2002), and the Sidney Myer Professor of Commerce & Business Administration (2002–2008) at Melbourne Business School.
Professor Harper’s term on the Reserve Bank Board coincides with the conclusion of Dr John Edward’s term on 30 July 2016. Dr Edwards has made an important contribution to Reserve Bank Board deliberations through a challenging period for the Australian economy and I thank him for his service. I wish him every success for the future.
The appointment of Dr Lowe will create a vacancy at the Deputy Governor level in the RBA, the filling of which will be considered in the second half of the year.
These appointments were made in accordance with the relevant provisions of the Reserve Bank Act 1959 (the Act). Under sections 14 and 24 of the Act respectively, the Treasurer appoints Reserve Bank Board members and the RBA Governor