Lagarde may leave her post as President of the European Central Bank early — what she will do
Kyiv • UNN
Christine Lagarde could be elected head of the WEF as early as November, which would lead to an early change in the ECB leadership. No final decision has yet been made.
The World Economic Forum (WEF) may appoint Christine Lagarde as its next chair as early as next month. Four people close to the organization told Reuters, reports UNN.
The publication notes that this would mean Lagarde leaving her post as president of the European Central Bank (ECB) ahead of schedule, which, in turn, would trigger broader personnel changes in the ECB’s leadership.
Lagarde’s term at the ECB expires in October 2027. An early departure would give European Union leaders the opportunity to choose a new ECB president before France’s spring presidential election — which, according to polls, could be won by the far right — and would also pave the way for agreements on two other senior positions at the ECB.
According to people close to the organization (who wished to remain anonymous due to the sensitivity of the matter), the WEF Board of Trustees, which includes Lagarde herself, will meet on November 2. At that meeting, she may be elected chair of the forum.
No final decision has been made yet, they said.
Two sources said the board could use the meeting to set a date for the vote. This would allow Lagarde to officially take up the post of WEF chair before the start of the forum’s annual meeting in Davos, which will take place in January. Davos traditionally brings together political and business leaders to discuss global economic and financial issues.
They noted that Lagarde’s election is not yet guaranteed, but added that the 70-year-old former French finance minister has broad support among board members (according to information on the website, the board has a total of 27 members).
The ECB declined to comment.
It should be added
The publication notes that any of the possible schedules would leave sufficient time for the new ECB president to complete all the formal procedures required for appointments within EU institutions — and this would take place well before Emmanuel Macron’s presidential term ends in May.
According to a fifth source, one factor influencing the timing was Lagarde’s desire to give Macron an opportunity to influence the choice of her successor. There are concerns in European political circles that negotiations over who will replace Lagarde could become significantly more complicated if far-right leader Marine Le Pen wins France’s presidential election. The World Economic Forum (WEF) Board, based in Geneva, currently has two co-chairs: BlackRock CEO Larry Fink and Roche Vice Chairman André Hoffmann. The latter took up the position after forum founder Klaus Schwab stepped down last year.
The board also includes public-sector representatives — in particular, International Monetary Fund Managing Director Kristalina Georgieva and Queen Rania of Jordan — as well as leading business figures, including Salesforce’s Marc Benioff and Siemens’ Jim Hagemann Snabe.
Lagarde, who is attending the annual meetings of the IMF and the World Bank in Bangkok this week, said she would remain at the ECB until next year, but did not make a clear commitment to serve until the official end of her term in October.
If she leaves, a second vacancy will arise on the ECB’s six-member Executive Board — following the resignation of Isabel Schnabel last month. Meanwhile, Chief Economist Philip Lane is due to leave his post in May.
According to EU officials, appointments to these three positions could be agreed as part of a package deal among the member states.
Former central bank chiefs of the Netherlands and Spain — Klaas Knot and Pablo Hernández de Cos — are considered the leading candidates for the ECB presidency, while France is reportedly seeking the chief economist position.
Germany plans to nominate a candidate to replace Schnabel, who oversees the ECB’s market operations, sources said.