The Bank of Canada is about to change its head, and candidates for governor have surfaced: BlackRock, Scotiye economists, etc. are on the list

The Zhitong Finance App learned that the Bank of Canada is about to begin selecting the next governor, but this time there is a difference: the final decision for this high-profile position is in the hands of the government, and the prime minister just happens to be an expert in this position. Mark Carney was in charge of the Bank of Canada and the Bank of England before entering politics and winning the general election last year.

His unique history will certainly play a role in the Bank of Canada's search for a successor to Tiff Macklem (Tiff Macklem). McClum is 65 and his seven-year term expires in June next year. An announcement about his future is expected soon.

The next governor will take over one of the most uncertain economic environments in a decade. More frequent supply shocks, trade disruptions, high sovereign debt, and the construction of artificial intelligence infrastructure are likely to drive up inflation and borrowing costs.

Technically speaking, the board of directors of the central bank appoints the next governor; however, the candidate must be approved by the government and usually announced by the Minister of Finance. The media interviewed dozens of economists and other experts (including former central bank officials) to determine the early frontrunners in their eyes. Some believe that Carney would like to make history — with his government appointing the first native French-speaking governor in the history of the Bank of Canada.

Jean Boivin (Jean Boivin) is a popular candidate, and economists think his background and connections are a good fit for the position. He was the Deputy Governor of the Bank of Canada from 2010 to 2012, when Carney was the governor.

Jean-François Perrault (Jean-François Perrault), the chief economist at Scotiabank Canada, and Nicolas Vincent (Nicolas Vincent), a well-known economist who became a full-time vice president in August of this year, are also seen as strong contenders.

Another option that could make history: Carney's cabinet could choose former senior vice president Carolyn Wilkins (Carolyn Wilkins), who will become the first female governor of the Bank of Canada. She lost to McClum in 2020 when she competed for this top position.

As Prime Minister, Carney is used to selecting people with long-term private sector experience in finance and business for key positions. The list includes former Goldman Sachs banker Tim Hodgson (Tim Hodgson), current Secretary of Energy; former BlackRock and Pensions executive Mark Wiseman (Mark Wiseman), current Canadian ambassador to the US. On Monday, he also appointed Bridgewater Co-Chief Investment Officer Karen Karniol-Tambour (Karen Karniol-Tambour) to lead Canada's new sovereign wealth fund.

The board of directors will soon begin reviewing potential successors, usually forming a short list for submission to the finance minister and prime minister's office. According to a former government official with knowledge of the situation, the last selection ended up being between Macram and Wilkins. At the time, some officials in Justin Trudeau's office wanted Wilkins, but Treasury Secretary Bill Mono eventually secured support for McClum, who was the dean of the Rotman School of Management at the University of Toronto at the time.

Here are a few potential candidates

Jean Boivin: This BlackRock economist has known Carney for a long time. He joined the central bank as a special adviser in 2009 and was promoted to Deputy Governor. At the time, Carney called Boivan's research “advancing the cutting edge of monetary economics.” In his 2021 book “Values,” Carney mentioned Boyne as one of his colleagues who taught him “the importance of resilience, innovation, and responsibility.” Boivan also briefed the Canadian Cabinet at a retreat in Quebec in January of this year. He was born in Chicoutimi, Quebec, and has a doctorate degree in economics from Princeton University. After leaving the central bank, Boivan joined the federal public service as Assistant Deputy Secretary of the Treasury, then switched to the private sector. Like Carney, his career extended to London. He is currently the head of BlackRock Investment Research, a research institution owned by BlackRock, the world's largest asset management company.

Jean-François Perrot: Chief Economist at Scotiabank since the end of 2015. Its team was one of the first agencies to warn investors during the COVID-19 pandemic: the central bank will be forced to break its long-standing practice of guiding investors to expect ultra-low interest rates. Perot's career overlaps with Carney's time at the Bank of Canada. He also served in the Federal Treasury, held several senior positions on the policy team, and was promoted to Assistant Deputy Minister for Economic and Fiscal Policy. After being elected last year, Carney invited Perot to a cabinet retreat to introduce the country's economic prospects to ministers. He was born in Montreal and has a master's degree in economics from the University of Ottawa, but no doctorate.

Caroline Wilkins: She worked for the Bank of Canada for about 20 years, 6 of which as No. 2 person. When this top position was last vacant, then-governor Stephen Poloz allegedly endorsed her. Wilkins helped lead the central bank's response to the pandemic, including its first foray into quantitative easing and other plans to restore liquidity during the crisis (including long-term repurchases). After leaving the central bank, Wilkins joined the Bank of England's Financial Policy Committee as an external member. She was born in Peterborough, Ontario, and has a master's degree in economics from the University of Western Ontario, without a doctorate.

Nicolas Vincent: In 2023, Vincent joined the Bank of Canada as the first external non-executive vice president. The position used to be part time, but a few months ago he switched to full time. He was born in Trois-Rivières, Quebec, and has a doctorate degree in economics from Northwestern University and has extensive teaching experience. Compared to other central bank officials on the list, he has less experience in central banking, and his background is more academic than managerial. More than a decade ago, he worked as a visiting researcher at the Bank of France. While at the central bank, he gave a speech on corporate inflation transmission and productivity challenges.

Paul Baudry: Baudry served on the central bank board from 2019 to 2023, experiencing the pandemic and the subsequent surge in inflation. He was also born in Montreal, is currently a professor at the University of British Columbia, and has taught at Oxford University and Boston University. He has a doctorate degree in economics from Princeton University. Its research focuses on business cycles, inflation, and financial markets. Before leaving the central bank, he delivered a speech saying that the risks facing Canada's neutral interest rate are biased towards the upward trend.

Caroline Rogers: The current senior vice president, who took office in 2021, is the only person on the list without a graduate degree in economics, but has a strong background in financial regulation. She has an MBA from Queen's University and is a Chartered Professional Accountant. As the central bank takes over the responsibility of overseeing the payment system, Rogers has an opportunity to lead the agency to play a greater role in financial supervision. Born in Winnipeg, she has limited French proficiency, which may be a shortcoming for a key position at this bilingual institution. In 2024, she gave a major speech about the country's weak productivity, likening it to a state of emergency.