Australia’s government is seeking expressions of interest from potential candidates to join the Reserve Bank’s rate-setting board — the first time the role has been advertised — as the terms of two existing non-executive members are due to expire soon.
(Bloomberg) — Australia’s government is seeking expressions of interest from potential candidates to join the Reserve Bank’s rate-setting board — the first time the role has been advertised — as the terms of two existing non-executive members are due to expire soon.
The board, chaired by Governor Philip Lowe, also has Deputy Governor Michele Bullock and Treasury Secretary Steven Kennedy as permanent members. The remaining six are non-executive directors appointed by the Treasurer. They usually serve five-year terms with the potential for reappointment.
The RBA’s website shows current board member Wendy Craik’s term expires on May 6 and her colleague Mark Barnaba’s is up for renewal on Aug. 30. The Age newspaper reported both Craik, who chairs the CSIRO Oceans and Atmosphere Advisory Board, and Barnaba, who is a deputy chair and independent director at Fortescue Metals Group Ltd., have signaled they will not seek reappointment.
The RBA didn’t immediately reply to a request for comment.
The job posting comes amid an independent review of the RBA which is scrutinizing everything from board composition to the central bank’s policy mandate. The three-member panel will submit its final report to Treasurer Jim Chalmers by March 31.
The RBA has faced mounting criticism during its current tightening cycle, when it raised interest rates at nine consecutive meetings to a decade-high 3.35%.
There have also been suggestions of excessive insularity at the bank and that many of the board’s non-executive members — who come mainly from business — lack the monetary policy expertise to challenge the governor.
Speculation is growing that Lowe won’t be renewed when his seven-year term expires in mid-September. Chalmers has said he will announce his decision around mid-year.
Applications for the board member role, which includes taking policy decisions and engaging in discussions on economic conditions, the outlook and financial stability, close March 8.
The posting showed candidates should have knowledge and/or experience in economics, labor markets, financial markets, industry or public policy formulation as well as strong communication and strategic thinking skills.
The RBA “is committed to creating a diverse and inclusive workplace, and the government is committed to ensuring that Australia’s institutions appropriately reflect the diversity of our community,” according to the advertisement.
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