RESERVE BANK ACT 1959 - NOTES

RESERVE BANK ACT 1959 - NOTES

No. 4, 1959

Compilation No. 30

Compilation date: 1 October 2020

Includes amendments up to: Act No. 64, 2020

Registered: 21 October 2020

About this compilation

This compilation

This is a compilation of the Reserve Bank Act 1959 that shows the text of the law as amended and in force on 1 October 2020 (the compilation date).

The notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law.

Uncommenced amendments

The effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Legislation Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the series page on the Legislation Register for the compiled law.

Application, saving and transitional provisions for provisions and amendments

If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.

Editorial changes

For more information about any editorial changes made in this compilation, see the endnotes.

Modifications

If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the series page on the Legislation Register for the compiled law.

Self-repealing provisions

If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes.

Contents

Part I--Preliminary

1 Short title

2 Commencement

4 Repeal and saving

5 Interpretation

6 Application to Territories

6A Cessation of application to Territory

6B Application of Criminal Code

Part II--Constitution, policy and management of the Reserve Bank

Division 1--Constitution of the Reserve Bank

7 The Reserve Bank of Australia

7A Application of the Public Governance, Performance and Accountability Act 2013

7B Disclosure of interests by members of the Reserve Bank Board in relation to certain matters

7C Other disclosures of material personal interests by members of the Reserve Bank Board and the Payments System Board

8 General powers

Division 2--Policy and management of the Reserve Bank

8A The Boards of the Bank

9 Establishment of Reserve Bank Board

10 Functions of Reserve Bank Board

10A Establishment of Payments System Board

10B Functions of Payments System Board

10C Resolving differences between the Boards

11 Differences of opinion with Government on questions of policy

12 Management of the Bank

13 Governor and Secretary to Treasury to establish liaison

Part III--The Reserve Bank Board and the Governor and Deputy Governor of the Bank

14 Membership of Reserve Bank Board

15 Remuneration of members

16 Declaration by members

17 Disqualifications from membership

17A Resignation

18 Termination of appointment

18A Leave of absence

20 Chairperson and Deputy Chairperson

21 Meetings of Reserve Bank Board

21A Exclusion of Governor and Deputy Governor from certain deliberations

22 Secretary may nominate alternate to attend meetings of Reserve Bank Board

22A Conduct of meetings

22B Resolutions without meetings

24 Governor and Deputy Governor

24A Terms and conditions of employment not provided for by Act

24B Resignation

25 Vacation of Office

Part IIIA--The Payments System Board

Division 1--The members of the Payments System Board

25A Membership of Payments System Board

25B Appointment of members

25C Chair of the Payments System Board

25D Deputy Chair of the Payments System Board

25E Declaration by members

Division 2--Meetings

25F Meetings

25G Conduct of meetings

25H Resolutions without meetings

Division 3--Other administrative provisions

25I Remuneration

25J Leave of absence

25K Resignation

25L Termination of appointment

25M Payments System Board's report to the Minister

Part IV--Central banking

26 Reserve Bank to act as a central bank

27 Bank to be banker for Commonwealth

28 Capital

29 Reserve Fund

30 Profits

Part V--The note issue

32 Interpretation

34 Issue, re-issue and cancellation of notes

35 Denominations of notes

36 Notes to be legal tender

37 Signature on notes

43 Bank not to issue notes other than Australian notes

44 Other persons not to issue notes

Part VII--The Reserve Bank Service

66 The Reserve Bank Service

67 Appointment of staff

68 Consultants and other people engaged to perform services

Part VIII--Miscellaneous

74 Head office

75 Agents etc.

76 Attorney of Bank

77 Guarantee by Commonwealth

79 Taxation

79A Secrecy

79B Secrecy: documents or information to which section 79A does not apply

82 Returns

83 Power to improve property and carry on business

84 Execution of contracts

85 The Reserve Bank's seal

85A Judicial notice of statistical information published by Bank

86 Priority of debts due by other ADIs

87 Validity of acts and transactions of Bank

89 Regulations

Endnotes

Endnote 1--About the endnotes

Endnote 2--Abbreviation key

Endnote 3--Legislation history

Endnote 4--Amendment history

Endnotes

Endnote 1--About the endnotes

The endnotes provide information about this compilation and the compiled law.

The following endnotes are included in every compilation:

Endnote 1--About the endnotes

Endnote 2--Abbreviation key

Endnote 3--Legislation history

Endnote 4--Amendment history

Abbreviation key--Endnote 2

The abbreviation key sets out abbreviations that may be used in the endnotes.

Legislation history and amendment history--Endnotes 3 and 4

Amending laws are annotated in the legislation history and amendment history.

The legislation history in endnote 3 provides information about each law that has amended (or will amend) the compiled law. The information includes commencement details for amending laws and details of any application, saving or transitional provisions that are not included in this compilation.

The amendment history in endnote 4 provides information about amendments at the provision (generally section or equivalent) level. It also includes information about any provision of the compiled law that has been repealed in accordance with a provision of the law.

Editorial changes

The Legislation Act 2003 authorises First Parliamentary Counsel to make editorial and presentational changes to a compiled law in preparing a compilation of the law for registration. The changes must not change the effect of the law. Editorial changes take effect from the compilation registration date.

If the compilation includes editorial changes, the endnotes include a brief outline of the changes in general terms. Full details of any changes can be obtained from the Office of Parliamentary Counsel.

Misdescribed amendments

A misdescribed amendment is an amendment that does not accurately describe the amendment to be made. If, despite the misdescription, the amendment can be given effect as intended, the amendment is incorporated into the compiled law and the abbreviation "(md)" added to the details of the amendment included in the amendment history.

If a misdescribed amendment cannot be given effect as intended, the abbreviation "(md not incorp)" is added to the details of the amendment included in the amendment history.

Endnote 2--Abbreviation key

Endnote 3--Legislation history

(a) The Crimes (Currency) Act 1981 was amended by section  3 only of the Statute Law (Miscellaneous Provisions) Act (No. 2) 1985, subsections  2(1) and (7) of which provide as follows:

 (1) Subject to this section, this Act shall come into operation on the day on which it receives the Royal Assent.

 (7) The amendments of the Crimes (Currency) Act 1981 made by this Act (other than the amendment of section 2 of that Act) shall come into operation immediately after the amendment of section  2 of that Act made by this Act comes into operation.

(b) The Reserve Bank Act 1959 was amended by section  153 only of the Public Service Reform Act 1984, subsection 2(4) of which provides as follows:

 (4) The remaining provisions of this Act shall come into operation on such day as is, or on such respective days as are, fixed by Proclamation.

(c) The Reserve Bank Act 1959 was amended by section  3 only of the Statute Law (Miscellaneous Provisions) Act (No. 1) 1985, subsection  2(1) of which provides as follows:

 (1) Subject to this section, this Act shall come into operation on the twenty -eighth day after the day on which it receives the Royal Assent.

(d) The Reserve Bank Act 1959 was amended by section  62 only of the Commonwealth Banks Restructuring Act 1990, subsection 2(3) of which provides as follows:

 (3) Each of the remaining provisions of this Act commences on a day, or at a time, fixed by Proclamation in relation to the provision concerned.

(e) The Reserve Bank Act 1959 was amended by sections  22-35 only of the Banking Legislation Amendment Act 1992, subsections 2(1) and (2) of which provide as follows:

 (1) Subject to this section, this Act commences on the day on which it receives the Royal Assent.

 (2) Subsections 4(2) and 5(1) and sections  16, 17 and 35 commence on a day to be fixed by Proclamation, being a day not earlier than the day on which the State Act commences.

(f) The Banking Legislation Amendment Act 1922 was amended by Schedule  3 (item 7) only of the Statute Law Revision Act 1996, subsection 2(3) of which provides as follows:

 (3) Each item in Schedule  3 is taken to have commenced when the Act containing the provision amended by the item received the Royal Assent.

(g) The Reserve Bank Act 1959 was amended by sections  69-74 only of the Banking (State Bank of South Australia and Other Matters) Act 1994 , subsection 2(1) of which provides as follows:

 (1) Subject to this section, this Act commences on the day on which it receives the Royal Assent.

(h) The Reserve Bank Act 1959 was amended by sections  3, 20 and the Schedule (items 57 and 58) only of the Commonwealth Bank Sale Act 1995, subsections 2(1) and (2) of which provide as follows:

 (1) Subject to this section, this Act commences on the day on which it receives the Royal Assent.

 (2) Part 3, and all the items of the Schedule (except items 1, 12, 16, 17, 21, 22, 23, 26, 27, 31, 37 and 48), commence at the transfer time.

 The transfer time occurred on 19 July 1996.

(i) The Reserve Bank Act 1959 was amended by Schedule  4 (items 1 and 127) only of the Statute Law Revision Act 1996, subsection  2(1) of which provides as follows:

 (1) Subject to subsections (2) and (3), this Act commences on the day on which it receives the Royal Assent.

(j) The Reserve Bank Act 1959 was amended by Schedule  13 only of the Financial Laws Amendment Act 1997, subsection 2(1) of which provides as follows:

 (1) Subject to this section, this Act commences on the day on which it receives the Royal Assent.

(k) The Reserve Bank Act 1959 was amended by Schedule  2 (items 1149-1159) only of the Audit (Transitional and Miscellaneous) Amendment Act 1997, subsection  2(2) of which provides as follows:

 (2) Schedules 1, 2 and 4 commence on the same day as the Financial Management and Accountability Act 1997.

(l) The Reserve Bank Act 1959 was amended by Schedule  1 (items 149-154) only of the Financial Sector Reform (Consequential Amendments) Act 1998, subsection  2(2) of which provides as follows:

 (2) Subject to subsections (3) to (14), Schedules 1, 2 and 3 commence on the commencement of the Australian Prudential Regulation Authority Act 1998 .

(m) The Reserve Bank Act 1959 was amended by Schedules  14 and 19 only of the Financial Sector Reform (Amendments and Transitional Provisions) Act 1998, subsections 2(2)(l) and (19) of which provide as follows:

 (2) The following provisions of this Act commence on the commencement of the Australian Prudential Regulation Authority Act 1998:

 (l) Schedule 14;

 (19) Schedule 19 commences on the day on which this Act receives the Royal Assent.

(n) The Reserve Bank Act 1959 was amended by Schedule  5 only of the Financial Sector Reform (Amendments and Transitional Provisions) Act (No. 1) 1999 , subsection 3(1) of which provides as follows:

 (1) Subject to this section, this Act commences on the day on which it receives the Royal Assent.

(o) The Reserve Bank Act 1959 was amended by Schedule  1 (items 789-793) only of the Public Employment (Consequential and Transitional) Amendment Act 1999 , subsections 2(1) and (2) of which provide as follows:

 (1) In this Act, commencing time means the time when the Public Service Act 1999 commences.

 (2) Subject to this section, this Act commences at the commencing time.

(p) The Reserve Bank Act 1959 was amended by Schedule  10 (item 114) only of the Corporate Law Economic Reform Program Act 1999, subsection 2(2)(c) of which provides as follows:

 (2) The following provisions commence on a day or days to be fixed by Proclamation:

 (c) the items in Schedules  10, 11 and 12.

(q) The Reserve Bank Act 1959 was amended by Schedule  7 only of the Financial Sector Reform (Amendments and Transitional Provisions) Act (No. 1) 2000 , subsections 2(1), (12) and (13) of which provide as follows:

 (1) Subject to this section, this Act commences on the day on which it receives the Royal Assent.

 (12) Part 1 of Schedule  12 commences:

 (a) after all of the Acts listed in subsection (13) have received the Royal Assent; and

 (b) on the day that is the last day on which any of those Acts received the Royal Assent.

 (13) These are the relevant Acts for the purposes of paragraph (12)(a):

 (a) this Act;

 (b) each of the Acts referred to in the definition of Validation Act in item 1 of Schedule 12 to this Act.

(r) The Reserve Bank Act 1959 was amended by Schedule  3 (item 458) only of the Corporations (Repeals, Consequentials and Transitionals) Act 2001, subsection  2(3) of which provides as follows:

 (3) Subject to subsections (4) to (10), Schedule 3 commences, or is taken to have commenced, at the same time as the Corporations Act 2001 .

Endnote 4--Amendment history