The president of the European Central Bank (ECB), Christine Lagarde, could become the next head of the World Economic Forum, the organization that holds the Davos summit every year, after announcing this Thursday that she will leave her post next February 7, almost nine months before her term ends.
The board of trustees of the organization has a meeting scheduled for Monday, November 2, at which it could decide on her appointment, an option that is gaining strength against speculation about a possible candidacy of the French leader in the 2027 presidential elections.
Lagarde has broad support within the board of trustees of the World Economic Forum, although no final decision has yet been made. The Monday meeting could end with her appointment or with setting a date to proceed with the vote, which would make it possible to organize her incorporation once her period at the head of the ECB is over.
Davos appears as a possible destination after her departure from the ECB
The presidency of the World Economic Forum would allow Lagarde to continue participating in the main international economic and political debates from an organization that brings together government leaders, business leaders, representatives of multilateral institutions, and specialists from different fields annually in Switzerland.
The French leader knows this environment through her career in international organizations and through her participation in the Davos meetings, where economic prospects, financial stability, and trade relations usually occupy a prominent part of the agenda. In addition, she has been part of the organization’s board of trustees for years, a circumstance that would facilitate her incorporation into the leadership responsibilities.
If her election is confirmed on Monday, it would still remain to be determined when she would assume her new duties and how the transition with her current responsibilities would be organized. Her possible appointment before February would not necessarily imply the simultaneous exercise of both posts, given the independence requirements that govern the ECB’s activity.
The French presidential race loses a possible contender
Lagarde’s eventual incorporation into the World Economic Forum would cut off speculation about the succession of Emmanuel Macron, whose second presidential term will end in 2027 and who will not be able to stand for a third consecutive election.
Although her name had appeared in conversations about possible candidates capable of representing a pro-European and economic continuity option, Lagarde had not formalized any candidacy and had already publicly rejected that possibility. Her career as French Minister of Economy, Managing Director of the International Monetary Fund, and president of the ECB had nevertheless contributed to fueling speculation about a possible return to national politics in a manner similar to what happened with the previous president of the ECB, Mario Draghi.
Her possible move to Davos would further reduce expectations that she would take part in the race for the Élysée, while her early departure from the ECB will allow Macron to intervene in the European negotiations to choose her successor before the French presidential elections.
The governments of the euro area will have to agree on the appointment of the new president of the central bank through a procedure that requires a reinforced qualified majority and prior consultation with the European Parliament and the Governing Council of the monetary institution. Among the main contenders are the former governor of the Bank of Spain Pablo Hernández de Cos and the former head of the Dutch central bank Klaas Knot.