''On the one hand, he gets a cleanskin, hard-nosed outsider to clean up the Vatican's finances,'' Keneally said of Cardinal George Pell's new job in Rome.

''On the other hand, he sidesteps an inevitable challenge for the church in Australia when the royal commission [into child abuse] report is released.''

The need for reform of the Vatican's scandal-plagued finances is not a surprise, but, to many, Monday's announcement that Cardinal Pell had been appointed Prefect for a new Secretariat for the Economy at the Holy See certainly was.

It will likely see him vacate his post as the Archbishop of Sydney, where his reputation as an uncompromising figure has not always served him well.

''He wasn't really a pastoral person,'' said archdiocese priest and academic Father Daniel Donovan, who nonetheless thought Cardinal Pell's appointment to Rome was a good one. ''The archdiocese became like a corporation with him as its CEO.''

Others say the same unflinching leadership style could prove a strength in the challenging task of taking on the Vatican's entrenched and ''semi-corrupt'' financial culture of the Holy See.

''He certainly has been making a lot of noise about the fact that the place is extremely badly run and obviously Francis has taken him at his word and given him the nod and said 'well, you clean it up','' said Catholic commentator and former priest Paul Collins.

''Certainly there are a number of people around the Vatican who will defend their turf and their right to spend their own budgets exactly as they see fit, and he's going to have to tackle those people and take them on.''

The vice-chancellor of the Australian Catholic University, Professor Greg Craven, described Cardinal Pell as a proven builder who has leveraged the church's resources to expand its reach in schools, universities, health and social services.

''If you look at Sydney now,'' Professor Craven said, ''he's got two Catholic universities operating, he's got two seminaries operating, you've got Catholic Healthcare humming, you've got enrolments in Catholic schools at record levels. If you were doing a corporate health check on this, you'd be saying the CEO is doing a pretty good job.''

But Father Donovan said the state of the archdiocese in terms of its structure and finances will only become clear when the next archbishop is appointed.

Cardinal Pell's new responsibilities will include reform and oversight of the Vatican's sprawling administration and finances, which are thought to operate on an annual budget akin to that of Harvard University.

He will report directly to the Pope, aided in policy making by a 15-member council of eight prelates and seven lay financial experts.

Archbishop Denis Hart, president of the Australian Catholic Bishop's Conference, said: ''Cardinal Pell has shown exceptional and high-profile leadership in the Australian church and will have an important contribution to make to the universal church in this area of finance.''

But Australia's reputation for sound financial management may have also had a hand in advancing Cardinal Pell's appointment.

Last week the Vatican announced its financial intelligence unit would work with Australian Transaction Reports and Analysis Centre (AUSTRAC) to fight money laundering and terrorist financing across borders.

Brian Lucas, secretary of the Australian Catholic Bishops Conference, said retired cardinal Edward Cassidy remains the Australian to reach the highest rank in Rome. Cardinal Cassidy took the number three spot when he served as the Sostituto, or Substitute Secretary of State, in 1988.