Which institution has been Australia's central bank since the Reserve Bank Act 1959 separated it from the Commonwealth Bank?

The Reserve Bank of Australia has been Australia’s central bank since the Reserve Bank Act 1959 separated it from the Commonwealth Bank. The new arrangement took effect on 14 January 1960, giving the Reserve Bank responsibility for monetary policy and central banking.

The Commonwealth Bank had previously combined commercial and central-bank functions. Its central-banking role developed gradually, especially after legislation in the 1920s, but the 1959 act created a distinct institution. The Reserve Bank is headquartered in Sydney and is Australia’s banknote-issuing authority.

Its responsibilities include maintaining monetary and financial stability, managing Australia’s official reserves, and providing banking services to the Australian government. The Reserve Bank is often confused with the Commonwealth Bank, which is now a commercial bank and no longer Australia’s central bank.