In a statement, AMP said that Mr Murray had commenced in the chairman role that was first announced on 4 May.
Mike Wilkins, who had been acting as interim chairman, will move back to serving as interim chief executive until the position is filled.
AMP chief executive Craig Meller brought forward his resignation and stepped aside on 20 April.
Commenting on his appointment, Mr Murray said he was “pleased to today begin the task of rebuilding AMP as chairman” and working with the board and management to “restore trust in the company”.
“AMP plays an important role in the Australian financial system, serving more than 3.8 million customers with products and services that are vital to the functioning of our economy,” he said.
The business had “undoubtedly been challenged by recent events,” he acknowledged. “But the board will set the tone from the top as we drive change across the business.
“My immediate focus will be on renewing the Board and strengthening our governance framework. Remediation of customers and rebuilding relationships with regulators will also be priorities.”
On behalf of the board, he thanked Mr Wilkins for acting as executive chairman in the last two months and said he looked forward to continuing working together “as we take up the challenge of reinvigorating AMP”.
Mr Murray headed the Financial System Inquiry in 2014 and was the chief executive of the Commonwealth Bank of Australia for more than a decade from 1992 to 2005.
He is also the inaugural chairman of Australia’s sovereign wealth fund Future Fund’s Board of Guardians.
