ECB chief to remain in post

Euro-zone finance ministers are today expected to ask Mr Wim Duisenberg to postpone his departure as president of the European Central Bank (ECB), due to take place on July 9th, writes Denis Staunton in Athens

He will be asked to stay on to resolve uncertainty about the job because his probable successor, Banque de France governor Mr Jean-Claude Trichet, is awaiting a court verdict in connection with the Crédit Lyonnais banking scandal.

The Dutchman has offered to postpone his retirement by a few months to allow the case to be resolved. If Mr Trichet is found guilty, France is expected to put up another candidate to head the ECB.

As he arrived for a two-day meeting of EU finance ministers in Athens, Mr Hans Eichel, Germany's finance minister, said: "Mr Duisenberg is an excellent president for the time being and, for now, he is his own successor."

The main uncertainty is over just how long he would remain. Minister for Finance, Mr McCreevy, said he thought it would be until the autumn, but others were suggesting until the end of the year.

The French finance minister, Mr Francis Mer, said that Mr Duisenberg could be asked to remain in place "a bit longer" than September. Luxembourg's Prime Minister and finance minister, Mr Jean-Claude Juncker, said that all EU finance ministers wanted Mr Duisenberg to stay on for a few months.

"I don't know of any of my colleagues who would stand in the way of it," he said.

The finance ministers will also announce the appointment of a new member to the ECB board, with Ms Gertrude Trumpel-Gugerell, Austria's central bank deputy governor, the favourite. She is expected to replace Ms Sirkka Hamalainen, a Finn, who is to retire at the end of next month.

The only opposition comes from the Belgian economist Mr Paul de Grauwe.