The Cocos (Keeling) Islands Act 1955 is the basis of the Territory's administrative, legislative and judicial systems.
An Administrator appointed by the Governor-General and responsible to the Minister for Territories and Local Government is the senior Government representative in the Territory.
A representative form of local government was established on 25 July 1979. This provided for the Cocos Malays own elected Cocos (Keeling) Islands Council. The Council has responsibility for many functions in the Home Island village area, and advises the Administrator on local affairs. The Council is also empowered to make representations on ordinances proposed for the Territory.
The Cocos Islands Co-operative Society Limited. also established in 1979, conducts the business enterprises of the Cocos people.