‘Eminently qualified’: Who is the new Reserve Bank governor Michele Bullock?
Michele Bullock will serve as Australia's central bank boss from September. Photo: AAP/TND
It’s official – career RBA economist Michele Bullock will become Australia’s next central bank boss after Prime Minister Anthony Albanese and Treasurer Jim Chalmers tapped her for the top job on Friday.
Ms Bullock, who will make history as the first female governor of the RBA, will replace long-time leader Philip Lowe when his seven-year governor’s term expires in mid-September.
Seen as the conservative pick for the top job, Ms Bullock brings institutional continuity to the role as an RBA veteran since 1985 – most recently as deputy governor sitting on the RBA board.
But her term will be immediately defined by change, with the central bank set to overhaul many of its processes for setting interest rates following a recent widespread review of its operations.
Announcing the appointment in Canberra on Friday, Mr Albanese said Ms Bullock is “eminently qualified” to serve as RBA governor as a leading economist with decades of experience.
“Ms Bullock is an accomplished economist with wide experience at the RBA, including as deputy governor and deputy chair of the payment systems board,” Mr Albanese said.
‘Ongoing economic challenges’
“The incoming governor will oversee the implementation of the recommendations of the RBA review, to make sure we have the most effective central bank and monetary policy framework as Australia and the world face ongoing economic challenges.”
In replacing Dr Lowe as governor, Ms Bullock steps into the top job at a tumultuous time for the central bank – her predecessor courted controversy in recent months over big interest rate hikes and hand wringing about decisions made during the COVID years.
But having sat on the RBA board over the past year, Ms Bullock’s appointment isn’t expected to change the immediate outlook for interest rates, with upcoming inflation data set to be pivotal.
Just as consequential will be her role in shepherding the RBA through its biggest reforms in decades, with Dr Lowe earlier this week outlining plans to pare back the number of RBA rate calls each year and instead extend the duration of each meeting to enable more consultation.
Who is Michele Bullock?
Ms Bullock has held several senior roles at the RBA over the course of her career since joining the bank in 1985, including assistant governor titles across the central bank’s payment systems and business services.
She was appointed as deputy governor in April last year and has sat on the RBA’s board helping make interest rate decisions as monetary policy has tightened in a bid to curb inflation.
Dr Chalmers said on Friday that Ms Bullock brings a wealth of experience to the top job at the RBA, saying that replacing Dr Lowe was the right call after an extensive selection process in recent months.
“Michelle is an outstanding economist, but also an accomplished and respected leader,” Dr Chalmers said.
“Her appointment best combines experience and expertise with a fresh leadership perspective at the Reserve Bank as well.”
Ms Bullock said she was “deeply honoured” to be tapped for the next seven year term as RBA governor.
“It is a challenging time to be coming into this role, but I will be supported by a strong executive team and boards,” Ms Bullock said on Friday.
“I am committed to ensuring that the Reserve Bank delivers on its policy and operational objectives for the benefit of the Australian people.”