RBA shakeup wrap

The Australian government has released its final report on the Reserve Bank of Australia, touted as its biggest shakeup since it gained independence in the early 1990’s. 

The review contains 51 recommendations, including that the Federal Government should remove the RBA’s power to direct commercial banks’ lending, as well as create a new monetary policy board, plus a separate governance board. 

Governor Philip Lowe is of course also an indirect target, but says he’s not taking things personally, as is one of nine on its board who strive to promote the economic welfare of us Aussies.

Criticism of the central bank’s recent decisions won’t be the only focus of the 30-year probe, and it also took the opportunity to announce two new board appointments — former Fair Work Commission president Iain Ross and Telstra director Elana Rubin.