© Reuters. FILE PHOTO: Deputy Governor Sharon Donnery and Governor Philip R. Lane (R) speak at the publication of the Central Bank of Ireland?’s review of residential mortgage lending requirements in DublinFRANKFURT (Reuters) – Ireland’s Sharon Donnery and Italy’s Andrea Enria are both likely to be shortlisted by the European Central Bank to head its bank supervision arm from next year, two sources familiar with the process said on Wednesday.
The ECB’s Governing Council was to decide on the shortlist later in the day, then consult a European Parliament committee before narrowing down the list to a single candidate later this autumn.
The winner will take over supervising a sector still struggling with the legacy of the last economic and financial crisis, including unpaid loans, risky derivative contracts and meager profits.
Donnery, Ireland’s deputy central bank chief, is seen as the favorite in the process, as she is expected to enjoy the support of Germany after taking a no-nonsense stance toward banks for hoarding massive piles of non-performing loans, other sources said earlier.
But Enria, the head of the European Banking Authority, is also seen as a strong candidate for being tough on bad loans, a major problem for banks in Italy, Greece, Portugal and Cyprus, the two sources said this week.
The ECB declined to comment.
The sources said that gender may also play a factor in the process as the ECB has struggled to appoint women into top positions and the departure of Daniele Nouy as the head of the supervisory arm will further reduce the number of women in top jobs.
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Source: Investing.com
