I am pleased to appoint Dr Philip Lowe to the position of Deputy Governor of the Reserve Bank of Australia (RBA) and Mrs Heather Ridout as a member of the Reserve Bank Board.
Dr Lowe will be appointed for a seven-year period from 14 February 2012, succeeding Mr Ric Battellino, who is retiring from the Board at the end of his term and from the RBA after a career of 39 years.
I would like to take this opportunity to thank Mr Battellino for his invaluable contribution to the RBA and Australia's economic stability over the past four decades. In particular, Mr Battellino was instrumental in helping shape the RBA's timely and effective policy and operational response to the global financial crisis.
Dr Lowe's promotion comes after a very distinguished career at the RBA beginning in 1980. He served as Head of Financial Institutions and Infrastructure Division at the Bank for International Settlements between 2000 and 2002 where he published influential work on financial stability matters. Between 2004 and 2009, Dr Lowe oversaw the RBA's work on issues related to financial stability and payments system policy.
Since April 2009, Dr Lowe has served as Assistant Governor (Economic) and has been the chief economic advisor to the Governor and the Reserve Bank Board. Dr Lowe holds a PhD from the Massachusetts Institute of Technology and a Bachelor of Commerce (Honours) in Economics/Econometrics from the University of New South Wales.
Mrs Ridout will be appointed to the Reserve Bank Board for five years from 14 February 2012, succeeding Mr Graham Kraehe.
I would like to take this opportunity to thank Mr Kraehe for the valuable contribution he has made to the deliberations of the Reserve Bank Board and to Australia's economic stability. His experience and knowledge of business has been of considerable benefit to the Board's monetary policy deliberations.
Mrs Ridout brings to the Board both an extensive business background and a strong understanding of public policy. Her understanding of the manufacturing sector in particular will be valuable to the Board at a time when different sectors of our patchwork economy face different pressures.
She is currently CEO of Australian Industry Group, as well as serving on the boards of AustralianSuper Pty Ltd., Australian Super Trustee Board, and the Australian Research Alliance for Children and Youth.
Mrs Ridout is also a member of a number of key national policy setting and consultative groups including the National Workplace Relations Consultative Committee, Infrastructure Australia, Skills Australia, and the Prime Minister's Taskforce on Manufacturing.
These appointments are made in accordance with section 14 of the Reserve Bank Act 1959, which provides for nine Board members including the Governor, the Deputy Governor, the Secretary to the Treasury and six other members.
I again thank Mr Battellino and Mr Kraehe and congratulate both Dr Lowe and Mrs Ridout on their appointments.