European Central Bank (ECB) President Christine Lagarde will step down from her position in February 2027, the ECB announced on Thursday.
Lagarde’s term as ECB president was originally scheduled to end in October next year.
“ECB President Christine Lagarde today informed the ECB’s Governing Council and European Council President António Costa that she will step down from her position on 7 February 2027,” the ECB said in a statement.
Costa praised Lagarde’s achievements as head of the ECB and announced that the process of selecting her successor would begin immediately.
“Amid a global pandemic, war in Europe, energy crises and inflation shocks, she provided steady and determined leadership, helping to preserve the stability and resilience of the euro area,” Costa wrote on social media.
“To ensure a smooth transition to the next ECB leadership, the process of appointing her successor will begin today and proceed without delay so that a decision can be reached in good time,” the European Council president added.
The ECB president is selected by the leaders of eurozone countries.
Lagarde has served as ECB president since November 2019.
Less than a month ago, Lagarde suggested in an interview with the French newspaper La Croix that she might leave office several months before the end of her term.
Speculation about Lagarde’s future has circulated since the beginning of this year.
In February, the Financial Times reported, citing an anonymous source, that Lagarde could step down before October 2027 to allow current French President Emmanuel Macron to participate in the selection of her successor.
Macron’s presidential term ends in May next year.
There are concerns that far-right candidate Marine Le Pen could win the upcoming French presidential election.