The former chief of the defence force noted he was assuming an office that once oversaw the punishment of one of his ancestors who was sent to Australia for seven years for stealing a cow.

"That 187 years later one of his descendants should assume the appointment of Governor speaks loudly to the character and values of the country," he said.

Mr Hurley praised outgoing Governor Dame Marie Bashir and told cabinet he would continue to promote some of her favourite causes, such as indigenous affairs and mental health services, Premier Mike Baird said.

In 42 years in the Army, General Hurley served in peacekeeping missions including in Somalia, East Timor and the Solomon Islands.

Mr Baird welcomed General Hurley's appointment and praised his military career of "protecting the vulnerable and empowering the distressed".

Mr Baird noted that Dame Marie  was in office for the tenure of six premiers.

"I'm certainly hoping that Governor Hurley has just one," he joked.