Mostyn will also become the second woman to serve in the role, after Quentin Bryce.
“Sam Mostyn is an exceptional leader who represents the best of modern Australia,” Prime Minister Anthony Albanese said on Wednesday.
“Her leadership reflects our enduring Australian values of equality, fairness and a responsibility to build a better future for the next generation.”
She will be sworn into the role in July, taking over from current Governor-General David Hurley.
Mostyn is president of Chief Executive Women. She has also worked with Reconciliation Australia, beyondblue, the Australia Council for the Arts, the National Mental Health Commission and was the first woman AFL commissioner.
“I’m deeply honoured by this great privilege and look forward to representing the values, hopes and aspirations of all Australians,” Mostyn said.
“I will never underestimate or take for granted the expectations that come with high office and I am ready to serve with integrity, compassion, and respect.”
– with AAP