Christine Lagarde, President of the European Central Bank (ECB), has firmly stated her intention to fulfill her full eight-year term, which concludes in October 2027. Her comments come in response to recent rumors suggesting she might depart early to assume leadership of the World Economic Forum (WEF). Lagarde addressed these speculations during a press conference following the ECB’s interest rate decision on June 5, 2025. She emphasized her dedication to the ECB’s mission and dismissed the notion of an early exit.
The rumors gained traction after former WEF chairman Klaus Schwab mentioned in the Financial Times that he had discussed the possibility of Lagarde succeeding him at the WEF. Schwab resigned abruptly in April 2025 amid allegations of misconduct, which he denies. An ECB spokesperson has since corroborated Lagarde’s intention to remain in her current role until the end of her term.
Lagarde’s reaffirmation of her commitment provides stability to the ECB during a period of economic uncertainty. The central bank recently announced a 0.25% cut in its benchmark interest rate, bringing it to 2%, in response to slowing economic growth and trade tensions, particularly from U.S. tariffs. Inflation in the eurozone has fallen to 1.9%, below the ECB’s 2% target, allowing room for supportive monetary policy. The ECB has also revised its growth forecast downward to 0.9%, reflecting concerns over trade tensions.
Lagarde’s leadership at the ECB has been marked by her handling of major crises, including the COVID-19 pandemic and global energy shocks. Her decision to stay on course ensures continuity in the ECB’s policies and provides reassurance to markets and stakeholders. As the ECB navigates the challenges of the global economic landscape, Lagarde’s commitment to completing her term underscores her dedication to the institution and its objectives.
