Lagarde's departure in February 2027, eight months before the end of her term as head of the European Central Bank lets European leaders choose her successor before France's April presidential election.
Le Monde with AFP
European Central Bank President Christine Lagarde will step down in February 2027, months before her term expires in October next year, the Frankfurt-based institution said on Thursday, October 29. "It has been a great pride and a huge privilege to serve this institution," Lagarde posted on X, announcing that she would resign nine months before her term officially ends in October 2027. "I think that I leave this institution with a sense of good work done and an ECB that is fit for the future," she said.
Lagarde's early resignation opens the way for European leaders to choose a new ECB chief before French presidential elections in the spring, with officials fearing that a far-right victory could complicate talks to pick her successor. But it also comes at a difficult time in the eurozone as worries mount about France's public finances and the central bank seeks to navigate the energy shock triggered by the US war on Iran, with inflation currently almost double the ECB's two-percent target.
Lagarde became the ECB president in November 2019, having previously led the International Monetary Fund and served as French finance minister. Her tenure took in the Covid-19 pandemic and an inflationary wave that followed Russia's invasion of Ukraine in 2022, which prompted a spike in energy prices.
European Union chief Ursula von der Leyen thanked Lagarde "for everything you have done for Europe and the euro." "From the pandemic to Russia's war of aggression, your steady hand has helped keep our economy stable and resilient," she said.
Lagarde did not say what her next move would be. But she has ruled out running for the French presidency herself, and has been tipped to take the helm of the World Economic Forum, which organizes the annual summit of politicians and business leaders in Davos, Switzerland.
