Honohan to head Central Bank

 

Professor Patrick Honohan, of Trinity College Dublin, has been appointed Central Bank governor, replacing John Hurley who retires at the end of the month.

The appointment was approved at a Cabinet meeting earlier today.

Minister for Finance Brian Lenihan said in a statement that: "Throughout this financial crisis I have sought the views of Professor Honohan and he has consistently provided valuable advice".

Mr Hurley is stepping down on Friday, September 25th.

Prof Honohan is professor of economics at Trinity College Dublin. He has previously worked at the World Bank and his research interests include systemic financial distress and the fiscal costs of dealing with banking crises.

The Government plans to re-merge the Central Bank and the Financial Regulator under the authority of the governor as head of the new Central Bank of Ireland Commission under regulatory reforms announced earlier this year.

Other names linked to the role were former Fine Gael finance minister Alan Dukes, who was appointed as one of the Government directors to Anglo Irish Bank last January, and Department of Finance secretary general David Doyle.

Since the Central Bank was established in 1943 the role has been filled by a senior civil servant. In February this year Mr Lenihan said the search for the next governor would include candidates from the private sector.

Mr Lenihan said Mr Hurley had “played an indispensable role in conjunction with the President of the European Central Bank, Mr. Jean Claude Trichet, in providing extensive support to Ireland’s financial system and its economy”.