PRIME Minister Tony Abbott's new indigenous advisory council will complete a review of indigenous spending by early next year.
Mr Abbott has begun recruiting people for the council, which will oversee a shake up of indigenous affairs.
Warren Mundine on Wednesday officially signed on to be the council's chairman.
He said his preference was for the council to have seven or eight members.
The membership will be finalised before the end of October.
"It's not a representative committee ... it's a council of experts, indigenous and non-indigenous, who will be working in this space to get the socio-economic outcomes for indigenous people," Mr Mundine told AAP.
"It will be based on expertise, but the majority will be indigenous people on the council."
Mr Mundine confirmed former Department of the Prime Minister and Cabinet boss Peter Shergold will be on the council.
In the early 90s Dr Shergold headed the now defunct Aboriginal and Torres Strait Island Commission.
The council will meet Mr Abbott and senior ministers three times a year.
Mr Mundine, a former Labor national president, will meet with Mr Abbott and Indigenous Affairs Minister Nigel Scullion on a monthly basis.
Mr Mundine flagged that some meetings would be held in indigenous communities.
"We want to get out and about," he said.
The council's first task is to conduct a review of indigenous spending and how to get value for money.
Mr Mundine has stressed the review is not about budget cuts.
He expects the review to be finalised by February or March 2014.
* People can register their interest to be on the council by emailing indigenousadvisorycouncil@pmc.gov.au
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