ECB Executive Board member Isabel Schnabel will leave office early, which is expected to intensify senior personnel competition, including the successor to President Lagarde. German Schnabel announced on Thursday that he will leave the ECB Executive Committee in January next year, one year earlier than his original term. This means that the ECB's top decision-making level will be vacant after more than three months. Chief economists Philip Lane and Lagarde will also end their terms in 2027, and Lagarde also hinted that they may leave office early, so the possibility that countries will reach a package of personnel arrangements for multiple positions is rising. There are still three EU leaders' meetings in the remaining part of this year that could be an occasion for political negotiations. Berenberg's chief economist Holger Schmieding said that now they are indeed facing time pressure, and all parties need to come up with solutions. However, the timing of personnel consultations was not ideal. The German government fell into crisis after a series of state-level elections were thwarted, while France faced a political impasse before the general election. Italy and Spain will also hold national elections one after another. This increases the risk that the ECB's personnel arrangements will be at an impasse.

ECB Executive Board member Isabel Schnabel will leave office early, which is expected to intensify senior personnel competition, including the successor to President Lagarde. German Schnabel announced on Thursday that he will leave the ECB Executive Committee in January next year, one year earlier than his original term. This means that the ECB's top decision-making level will be vacant after more than three months. Chief economists Philip Lane and Lagarde will also end their terms in 2027, and Lagarde also hinted that they may leave office early, so the possibility that countries will reach a package of personnel arrangements for multiple positions is rising. There are still three EU leaders' meetings in the remaining part of this year that could be an occasion for political negotiations. Berenberg's chief economist Holger Schmieding said that now they are indeed facing time pressure, and all parties need to come up with solutions. However, the timing of personnel consultations was not ideal. The German government fell into crisis after a series of state-level elections were thwarted, while France faced a political impasse before the general election. Italy and Spain will also hold national elections one after another. This increases the risk that the ECB's personnel arrangements will be at an impasse.