The Spanish Government has formalized the proposal of Pablo Hernández de Cos, the current Director General of the Bank for International Settlements (BPI) and former Governor of the Bank of Spain, as a candidate to replace Christine Lagarde at the head of the European Central Bank (ECB).
The First Vice President and Minister of Economy, Trade and Business, Carlos Cuerpo, sent this Friday the nomination to the President of the Eurogroup, the Greek Kyriakos Pierrakakis, by means of a letter sent on the last day of the deadline to register candidacies. This communication comes after the Netherlands confirmed that it will present Klaas Knot in the race to lead the European monetary institution.
"Pablo Hernández de Cos is an exceptional candidate, with a recognized international reputation and a record that shows leadership, independence and the ability to engage in dialogue. I am convinced that he would bring to the ECB the same firm hand that he showed while at the head of the Bank of Spain, where he promoted greater transparency and a closer connection to citizens," Carlos Cuerpo said.
From Moncloa, Hernández de Cos's experience is highlighted as the top official of the Bank of Spain between 2018 and 2024, a period in which he was part of the Governing Council and the General Council of the ECB, bodies in which the governors of the central banks of euro countries sit.
Throughout his career, the Spanish economist also served as an adviser to the ECB's Executive Committee in Frankfurt, the institution's headquarters, and went on to head the Department of Economics, Statistics and Research at the Bank of Spain, where he began his professional career.
On the international level, he has chaired the Basel Committee on Banking Supervision and the Advisory Technical Committee of the European Systemic Risk Board (ESRB). De Cos has a PhD in Economics from the Complutense University and has an extensive record of teaching and academic activity.
Competition with the Dutchman Klaas Knot
With the candidacies already registered, the Eurogroup will assess the proposals from member States at its meeting on the coming 9 November. Klaas Knot, former Governor of the central bank of the Netherlands, is emerging as the other major contender to become the "guardian of the euro".
A survey by the Official Forum of Monetary and Financial Institutions (OMFIF), conducted among specialists in monetary policy, placed De Cos as the most well-prepared candidate among the main names being mentioned to succeed Lagarde. Likewise, a Bloomberg poll among economists pointed to the Spaniard as the favorite to head the ECB.
In the coming months, the institution faces the renewal of half of the members of its Executive Committee, following the announcement of the early departure of Lagarde and Isabel Schnabel at the beginning of 2027 and with the end of the term of the ECB’s chief economist, Philip Lane, in May. The central bank’s leadership is therefore preparing for one of the deepest changes since its creation.
The discussions among the European partners will take this context into account, and the appointment of Lagarde’s successor will be incorporated into a broader package that will also cover the replacements of Schnabel and Lane.
Christine Lagarde stated, before the monetary policy meeting of October 29, her intention to step down on February 7, 2027, nine months before the official expiration of her term, which will open one of the most institutionally significant vacancies in the euro area.