On Monday 19 February, the Spanish Finance Minister, Luis de Guindos, was selected by his Eurozone peers to take over the position of vice-president of the European Central Bank (ECB), after his only rival, the Irish central banker Philip Lane, withdrew from the race.
“I will defend the independence of the ECB”, de Guindos pledged, following the official announcement of the backing of the Eurogroup. Thanking his colleagues for their support, he said that he would step down from his ministerial post in the coming days.
De Guindos was the starting favourite to take over from Portugal's Vitor Constancio (see EUROPE 11962), whose term in office will expire at the end of May. Lane's withdrawal from the race, which was announced by the Irish finance minister, Paschal Donohoe, upon his arrival at the Eurogroup meeting, put an end to any suspense. Donohoe explained the move on the grounds that the future vice-president of the ECB must be decided upon by consensus. Ireland is now reportedly lining itself up for the position of chief economist of the ECB, currently held by Peter Praet.
The future vice-president of the ECB was supported by France and Spain. Bruno Le Maire, the French finance minister, said upon his arrival that de Guindos had all the skills required for his future role. For his part, the Commissioner for Economic and Financial Affairs, Pierre Moscovici, hailed him as a talented man who would be able to put his experience to use in his new position.
Although de Guindos set off as favourite, the economic and financial affairs committee of the European Parliament on Thursday 15 February expressed its preference for Lane (see EUROPE 11962). According to Pervenche Berès (S&D, France), giving the job to de Guindos, a serving minister, could create a conflict of interests and undermine the independence of the monetary institute. The MEPs also regretted the fact that no women put themselves forward for the role, leading to concerns for gender equality on the board of the ECB.
At the Ecofin Council of Tuesday 20 February, the ministers will adopt a formal recommendation to the European Council. Following a further hearing of de Guindos by the MEPs, he will be formally appointed vice-president of the ECB in March by the heads of state or government of the EU. His mandate will begin in early June.
The race to take over from Mario Draghi at the head of the ECB will now begin in earnest, as the Italian's term in office expires at the end of October 2019. (Original version in French by Lucas Tripoteau)