Christine Lagarde said her base case is to see out her term as European Central Bank president, following a report this week that she’ll step down early.
“When I look back at all these years, I think that we have accomplished a lot, that I have accomplished a lot,” she told the Wall Street Journal in an interview.
“We need to consolidate and make sure that this is really solid and reliable. So my baseline is that it will take until the end of my term.”
The Financial Times said Wednesday that Lagarde will leave the ECB before the end of her eight-year mandate to allow President Emmanuel Macron to play a role in replacing her ahead of French elections that could usher in the far right.
RM Block
While the ECB insisted at the time that Lagarde is “totally focused on her mission,” in saying that she “has not taken any decision regarding the end of her term,” it suggested she’s indeed considering cutting short her tenure.
Lagarde told the WSJ that she views her mission as price and financial stability, as well as “protecting the euro, making sure that it is solid and strong and fit for the future of Europe.” She declined to comment to the WSJ on the FT’s article.
Lagarde has been linked with an early departure from the ECB before, but sought last June to quash talk that she’s planning to head the World Economic Forum. She told Bloomberg Television more recently that she’s “not a quitter”.
Speculation ramped up again, however, following the announcement that French central bank Governor Francois Villeroy de Galhau will leave his post prematurely, before his country goes to the polls next year.
Lagarde told the WSJ that the WEF is “one of the many options” she’s considering once she leaves the ECB.
The prospect of a victory for Marine Le Pen’s National Rally has Europe rushing to safeguard its most critical institutions. But moving to sidestep the consequences of election has raised concerns about the ECB’s political independence.
Asked about that, Lagarde told the WSJ: “I think the ECB is a very respected and credible institution, and I hope that I’ve participated in that.” - Bloomberg
