Lagarde reduces interventions of the chief economist at the European Central Bank during monetary policy meetings – monetary policy

European Central Bank (ECB) President Christine Lagarde, during monetary policy meetings, wants to give more votes to all national central bank governors that make up the institution’s board of directors, reducing the interventions of the chief economist, Reuters said, citing six sources familiar with the matter. Executive Committee in meetings.

The British agency said Lagarde had asked Philip Lane, chief economist at the central bank, and Isabelle Schnabel, a member of the institution’s “executive board”, to reduce their interference and leave more room for central bank officials in the 19 eurozone countries. Can comment on monetary policy in the region.

Lagarde decided to limit board members’ presentations to 20 pages and asked staff to finish the seminars by lunchtime on the first day of the European Central Bank’s long-awaited monetary policy meetings.

In addition, these meetings now begin Wednesday morning rather than afternoon, as usual. In contrast, the Thursday session begins half an hour earlier to give more space for discussion.

According to the same sources, these rules were already implemented at the last monetary policy meeting held on April 14.

Lynn’s presentations and proposals are the centerpiece of the ECB’s membership meetings – which include an informal dinner on Wednesday night attended by 19 governors and six members of the ECB’s Governing Council.

Until these rules are enforced, there have been meetings in which Lane’s presentations run over 60 pages, limiting discussion time among 19 eurozone governors.

And as far as Schnabel is concerned, these new rules are only protective, because his performances – according to the same sources – are “relatively short”.

“Philip has a great presence [nestas reuniões]It is good to balance [a sua posição com a dos governadores] ’ concluded one of the sources.

The European Central Bank Council meets on June 9 to discuss monetary policy in the eurozone, at a time when markets and members of the institution itself, including Lagarde, indicate an increase in interest rates is already in the works. July, after the end of the asset purchase program.