Mr Maurice O'Connell has been reappointed for a second seven-year term as governor of the Central Bank.

The Government yesterday asked the President, Mrs McAleese, to make the reappointment which will allow Mr O'Connell serve until he is 72 years old.

Government and Central Bank sources said yesterday that Mr O'Connell would not serve the full term.

They said he would step down after the introduction of the euro next January. The governor's last term is also likely to see the introduction of the long awaited single regulatory authority.