Canberra, Jul 14 (IANS): The Reserve Bank of Australia (RBA) on Friday announced that it will be led by a woman Governor for the first time in its history.

Michele Bullock, who is currently the RBA's Deputy Governor, will replace outgoing Governor Philip Lowe when she starts her seven-year term from September 18, the BBC quoted a bank statement as saying.

"It is a challenging time to be coming into this role, but I will be supported by a strong executive team and boards," Bullock said

"I am committed to ensuring that the Reserve Bank delivers on its policy and operational objectives for the benefit of the Australian people," she added.

Taking to Twitter, Prime Minister Anthony Albanese said: "Congratulations Michele Bullock, Australia’s 9th Reserve Bank Governor. Michele is an outstanding economist, with a long and distinguished career at the central bank. At a critical time for the global economy, her job will be an important one.

"We believe she has the experience, expertise and fresh perspective to lead the RBA as Australia -- and the world -- face ongoing economic challenges."

The Prime Minister also thanked Lowe for his "seven years of service to the nation, many of those years navigating unprecedented times".

In a statement, the outgoing Governor said the central bank was in good hands as it deals with the rising cost of living, the BBC reported.

"The Treasurer has made a first-rate appointment. I wish Michele all the best," he said.

The RBA is under pressure to tackle inflation, which is stretching household budgets.

The central bank has raised interest rates 12 times since last May -- to mixed reactions from economists.

The RBA's main interest rate is currently at an 11-year high of 4.1 per cent.

Earlier this year, the Australian government released its first external review of the RBA in 40 years.

The review made 51 recommendations, including calls for the central bank to have a clearer monetary policy framework and greater accountability.