Federal Treasurer Scott Morrison has announced Philip Lowe as the next head of the Reserve Bank of Australia.

The deputy governor will replace Glenn Stevens, for a seven-year term starting September 18.

“Dr Lowe brings a wealth of knowledge and experience to the role of Governor, having served as the RBA Deputy Governor since early 2012, heading up many of the RBA’s analytical departments, and publishing on a wide range of issues relevant to the operation of monetary policy over his three decade career with the RBA.,” Mr Morrison said in a statement.

“Dr Lowe is well regarded in the central banking community, financial markets, and the Australian business community, and will reinforce existing confidence in the institution.”

Mr Morrison thanked Mr Stevens, who has been head of Australia’s central bank for almost a decade.

“International developments required Mr Stevens to steward the RBA through a challenging decade for the Australian economy, which included the global financial crisis, the passing of a once in a generation terms of trade boom, and the rise and fall of an unprecedented mining investment boom.

“The Government thanks Mr Stevens and his staff for the role they played in helping the Australian economy navigate these significant challenges over the decade.”

Mr Morrison also announced economist Ian Harper, who recently chaired the federal government’s competition policy review, as a part-time member of the RBA board for a five-year term, replacing John Edwards from July 31.

– TiVi Tuan-san