The early resignation of Christine Lagarde from the post of president of the European Central Bank on February 7, 2027, triggers a procedure to select her successor. Her mandate was due to end at the end of October 2027.
The first talks will be held between the eurozone countries, which can propose candidates. The names are discussed by the finance ministers in the Eurogroup, and once they are agreed, the EU Council makes a formal recommendation to the European Council.
How the ECB President is elected
The European Parliament and the ECB Governing Council must be consulted. However, their opinions do not constitute a veto. The final decision lies with the leaders of the 21 eurozone countries.
Appointment requires at least 16 votes, with the supporting countries representing at least 65 percent of the population of the monetary union. The candidate must be a person of recognized authority and professional experience in monetary or banking matters.
Eurogroup finance ministers will discuss the matter at a meeting in Brussels on 9 November. Among the names mentioned are former Spanish central bank governor Pablo Hernández de Cos, who now heads the Bank for International Settlements, former Dutch central bank governor Klaas Knott and Bundesbank president Joachim Nagel.
Duisenberg sets the only precedent
The ECB Statute regulates the conditions for the compulsory dismissal of a member of the Executive Board, but does not contain an explicit procedure for voluntary early resignation. There is also no automatic mechanism for appointing an interim president or transferring all presidential powers to a vice-president.
The only previous ECB president to step down before the end of his term is Wim Duisenberg. He took office in June 1998 and stepped down in 2003. When he was appointed, a political agreement was reached that the position would later be taken over by the Frenchman Jean-Claude Trichet.
In February 2002, Duisenberg informed the European institutions that he intended to retire in July 2003. In January 2003, he also sent a letter requesting that the procedure for selecting his successor be started, describing it as a “pure formality“.
However, the handover of the post was delayed while Trichet was on trial in a case related to the “Credit Lyonnais“ banking scandal. Duisenberg stayed on for a few more months to ensure a “smooth transition“. After the acquittal, Trichet took over as ECB president in November 2003.
The election will coincide with other changes
Lagarde's replacement could be discussed along with other positions in the ECB's leadership. The mandate of Chief Economist Philip Lane expires in May 2027, and Isabelle Schnabel is expected to leave early at the beginning of the same year to join the International Monetary Fund.
The procedure is likely to last several months. When Lagarde was appointed in 2019, more than three months passed from nomination to final confirmation of her candidacy.
Sources: bta.bg, apnews.com