Monetary Policy Board
The role, responsibilities and composition of the Monetary Policy Board are set out in the Reserve Bank Act 1959. These responsibilities are supplemented by the Statement on the Conduct of Monetary Policy, which sets out the common understanding of the Board and the Government as to how the Monetary Policy Board can best fulfil its legislative responsibilities.
Role of the Monetary Policy Board
As set out in Section 8AA of the Reserve Bank Act, the overarching objective of the RBA, including its boards, is to promote the economic prosperity and welfare of the Australian people, both now and into the future.
The specific responsibilities of the Monetary Policy Board in achieving this overarching objective are set out in Section 9B of the Act. They include:
- Determining the monetary policy of the RBA, in a manner that it believes best contributes to both price stability and the maintenance of full employment in Australia. The Statement on the Conduct of Monetary Policy sets out the common understanding of the Board and the Government as to a framework by which the Board can achieve this.
- Determining the RBA’s policy for contributing to the stability of Australia’s financial system.
The focus of discussions at the Monetary Policy Board’s meetings is on monetary policy. This discussion occurs against the background of papers prepared by RBA staff about developments in the domestic and foreign economies, and in financial markets. These papers are supplemented by staff presentations at each Board meeting.
Meetings of the Monetary Policy Board
The Board meets eight times a year, following the release of key economic data on inflation and economic activity. Board meetings are held at the RBA’s Head Office in Sydney.
Five members form a quorum for a meeting of the Monetary Policy Board, which must be chaired by the Governor or, in their absence, the Deputy Governor. Consistent with the Reserve Bank Act, the Board makes decisions by a majority of the members present, with the Chair having a casting vote, if necessary.
Minutes of the monetary policy discussion of the Board are published two weeks after each meeting.
The Board meetings start on a Monday afternoon and conclude the following day. The outcome of the meeting is announced at 2.30 pm on the second day. The Governor holds a media conference after each Board meeting to explain the decision.
Members of the Monetary Policy Board
The Monetary Policy Board comprises nine members: three ex officio members – the Governor (who is Chair), the Deputy Governor (who is Deputy Chair) and the Secretary to the Treasury – and six non-executive members, who are appointed by the Treasurer. The Governor and Deputy Governor are appointed for terms of up to seven years and are eligible for reappointment. The non-executive members are appointed for terms of up to five years, with the possibility of an extension of their term up to a maximum total period of seven years. A list of current members of the Monetary Policy Board and previous members of the Reserve Bank Board (which was the monetary policy board of the RBA until 28 February 2025) is also published on this website.
Under Section 25AB(2) of the Reserve Bank Act, members of the Board may not be a director, officer or employee of an authorised deposit-taking institution for the purposes of the Banking Act 1959.
The current members of the Monetary Policy Board are:
Chair: Michele Bullock
BEc (Hons) (UNE), MSc (LSE)
Governor since 18 September 2023
Chair since 1 March 2025
Present term ends 17 September 2030
Chair – Payments System Board
Chair – Governance Board
Chair – Council of Financial Regulators
Chair – Financial Markets Foundation for Children
Member – Financial Stability Board
Member – Trans-Tasman Council on Banking Supervision
Director – The Anika Foundation
Deputy Chair: Andrew Hauser
MA (PPE) (Oxford), MSc Economics (LSE)
Deputy Governor since 12 February 2024
Deputy Chair since 1 March 2025
Present term ends 11 February 2029
Member – Governance Board
Non-executive Member: Marnie Baker
BBus (Acc) (La Trobe)
Member since 1 March 2025
Present term ends 28 February 2030
Non-executive Director – Regional Australia Institute
Chair – La Trobe University Bendigo Regional Advisory Board
Employer Representative Director – Australian Retirement Trust Pty Ltd
Member – Technology and Transformation Committee, Australian Retirement Trust Pty Ltd
Non-executive Member: Renée Fry-McKibbin
BEc (Hons), PhD (Melb)
Member since 1 March 2025
Present term ends 28 February 2030
Associate Dean – College of Law, Governance and Policy, Australian National University
Member – Council of Advisors – Australasian Macroeconomics Society
Member – Australasian Standing Committee of the Econometric Committee
Editorial Board – Economic Record
Non-executive Member: Ian Harper AO
BEc (Hons) (Queensland), MEc, PhD (ANU)
Member since 1 March 2025
Present term ends 31 Aug 2026
Chair – Australian Statistics Advisory Council
Chair – Clergy Remuneration and Working Conditions Committee, Anglican Diocese of Melbourne
Member – Kearney (Australia and New Zealand) Advisory Group
Director – Harper Associates Australia
Non-executive Member: Carolyn Hewson AO
BEc (Hons) (Adelaide), MA (Econ) (Cantab)
Member since 1 March 2025
Present term ends 28 February 2027
Non-executive director – CSL Limited
Ambassador – Impact 100 South Australia
Member – John Monash Foundation Leadership Academy Advisory Board
Ex officio Member: Steven Kennedy PSM
BEc (Hons) (Sydney), MEc, PhD (ANU)
Secretary to the Australian Treasury
Member since 1 March 2025
Ex officio member – Board of Taxation
Ex officio member – Council of Financial Regulators
Member – Centre for Market Design Advisory Board
Member – Melbourne Institute Advisory Board
Member – Sir Roland Wilson Foundation
Member – Trans-Tasman Council on Banking Supervision
Non-executive Member: Iain Ross AO
BEc (Sydney), LLB (Sydney), LLM (Sydney), MBA (Monash), PhD (Law) (Sydney)
Member since 1 March 2025
Present term ends 31 August 2028
Adjunct Professor – The University of Sydney Business School
Chair – Net Zero Economy Authority
Non-executive Member: Alison Watkins AM
BCom (Tasmania)
Member since 1 March 2025
Present term ends 28 February 2026
Chancellor – University of Tasmania
Non-executive director – CSL Limited
Non-executive director – Wesfarmers Limited
Relationship with the RBA’s other boards and with the Australian Government
The Reserve Bank Act provides a clear delineation between the Monetary Policy Board, which has responsibility for the RBA’s monetary policy and its policy for financial stability (other than when that relates to payments system policy), and both the Payments System Board (which has responsibility for the RBA’s payments system policy) and the Governance Board (which has responsibility for the RBA’s policy on all other matters). The Act includes provisions that prohibit the Governance Board from performing any functions conferred on the Monetary Policy Board, or from doing anything that would limit the ability of the Monetary Policy Board to exercise its powers in ways that affect the RBA’s balance sheet. These provisions reduce the risk of conflict over policies between the boards. The RBA’s three boards are working towards establishing a memorandum of understanding to clarify how they will work together effectively and manage any potential conflicts that may arise. However, if a conflict were to arise, the Governor has the ultimate authority to resolve the conflict.
The Monetary Policy Board is required to inform the Government of its policies from time to time. In the event of a difference of opinion between the Government and the Board, the provisions of the Reserve Bank Act provide a mechanism for dispute resolution.