Spanish Prime Minister Pedro Sánchez has appointed his minister for digital affairs José Luis Escrivá as the Bank of Spain’s new governor, raising concerns about the central bank’s independence.
Escrivá (main image) will succeed Pablo Hernández de Cos, who stepped down after his term expired in June, Economy Minister Carlos Cuerpo said, calling him the ‘ideal candidate’ for the post.
The choice of the new Bank of Spain governor had been delayed because Sánchez’s left-leaning coalition government and the main opposition group, the right-wing People’s Party (PP), had failed to reach an agreement on a candidate.
While the government has the right to pick the central bank governor, Spanish tradition dictates that it should be made in consensus with the main opposition party, which then chooses deputy governor.
As in other European nations, the post has generally gone to a leading economist or a technocrat, and not to active politicians.
‘Escrivá has the necessary technical qualifications, recognised and accredited, moreover, through his extensive experience in the most important financial institutions, and in numerous public and private bodies,’ Cuerpo said, adding that the minister had ‘a deep knowledge’ of the central bank.
An economist by training, Escrivá, 63, began his career at the research department of the Bank of Spain before moving to the European Central Bank and then BBVA, Spain’s second-largest private bank, where he became head of research.
He joined Sánchez’s government in 2020 as social security minister and oversaw an overhaul of the pension system. He was appointed digital affairs minister last year.
The head of the PP, Alberto Núñez Feijóo, accused the government of seeking to ‘hijack’ the central bank with Escrivá’s appointment.
‘The fact that the government is appointing a minister as governor is very damaging for the independence of the Bank of Spain,’ he told journalists, warning that the institution would be ‘discredited’.
The Bank of Spain has been led on an interim basis by Deputy Governor Margarita Delgado, whose three-month mandate cannot be extended beyond 11 September .
He informado en el @Congreso_Es de la designación de @joseluisescriva como gobernador del @BancoDeEspana.
— Carlos Cuerpo (@carlos_cuerpo) September 4, 2024
Es el perfil idóneo para llevar al Banco de España a las cotas más altas, con una experiencia y trayectoria profesional a la altura del reto.
Mucha suerte en esta andadura pic.twitter.com/EqGYjr0R5C
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