Christine Lagarde could leave the ECB before 2027 according to the Financial Times

She was the great treasurer of Nicolas Sarkozy, then the head of the IMF. Since 2019, Christine Lagarde has held the reins of the ECB with an iron fist. Yet, her chair is starting to seriously wobble. The Financial Times claims she could pack up before the end of her term, scheduled for October 2027. Objective: to allow Emmanuel Macron to choose her successor before the presidential election next April. The news caused a shockwave in the trading floors. The euro flinched. And the crypto-sphere is holding its breath while watching Frankfurt.

The rumor that shook European financial markets

On Wednesday, February 18, the Financial Times dropped a real bombshell. The anti-stablecoins Christine Lagarde is reportedly considering leaving her post before the official end of her mandate. The reason given? To allow Emmanuel Macron to influence her succession before the crucial deadline of April 2027. The ECB quickly denied this through a spokesperson: 

President Lagarde is fully focused on her mission and has made no decision concerning the end of her mandate. 

Despite this formal denial, the damage was already done. In the foreign exchange markets, the euro immediately fell 0.57% against the dollar, dropping to 1.1786 dollars. This sharp reaction shows that institutional uncertainty has a price, even when based on a mere rumor. 

A Morgan Stanley strategist tried to calm nerves by stating that “foreign exchange markets will mainly focus on short-term data“. But investor nervousness remains palpable, and all of financial Europe is now watching for the next twist. 

Speculations abound in the corridors of Frankfurt, especially since the European economic context remains fragile with persistent inflation and sluggish growth.

The Franco-German negotiations shaking the EU

Behind this simple departure rumor lies actually a much larger game of influence. Christine Lagarde’s succession is not an isolated event but part of a huge “package deal” including other strategic positions. 

The term of chief economist Philip Lane ends in May 2027, as does that of director Isabel Schnabel. The unwritten rule governing the EU requires that France, Germany, and Italy each hold a seat on the executive board. 

Emmanuel Macron wants to place a Frenchman in the highly coveted post of chief economist, which requires Lagarde to free the presidency. Germany is pushing its own pawns through Joachim Nagel, the head of the Bundesbank. He advocates a clear and sovereign vision: a powerful digital euro capable of rivaling the dollar stablecoins. 

The negotiations promise to be tough because the stakes far exceed the people involved. The rise of populism further complicates the equation, with each camp wanting to lock down its positions before upcoming electoral deadlines.

The Frankfurt united front against wild crypto

One certainty remains despite all these uncertainties. Whether Christine Lagarde leaves or stays, whether her successor is French, German, or Spanish, the ECB’s doctrinal line on crypto-assets will not move an inch. 

Let’s examine the short-list of potential candidates. The Spaniard Pablo Hernández de Cos considers that crypto-assets and stablecoins represent a risk to financial stability requiring solid regulation and supervision. 

The Dutchman Klaas Knot calls for a robust global regulatory framework for crypto-assets and stablecoins. The German Isabel Schnabel states that bitcoin is a speculative asset with no recognizable fundamental value. As for Joachim Nagel, president of the Bundesbank, he dubbed bitcoin a “digital tulip” and actively advocates for a sovereign European payment ecosystem. 

All indeed share the same credo: develop the digital euro, strictly regulate private stablecoins, and counter the hegemony of dollar stablecoins that threaten Europe’s strategic autonomy. 

Frankfurt’s anti-crypto wall is definitely reinforced concrete. With Lagarde gone, it will stand perfectly, supported by a generation of central bankers deeply suspicious of private digital currencies.

Key dates of the Lagarde saga

• February 18, 2026: The Financial Times reveals Lagarde’s early departure intentions;
• April 2027: French presidential election, a decisive deadline for Macron;
• May 2027: End of chief economist Philip Lane’s term;
• October 2027: Official end of Christine Lagarde’s term;
• 2029: Target date for the first launch of the digital euro.

Before finally leaving the stage, Christine Lagarde will leave a major legacy: the digital euro. The ECB has already carefully structured its project. A full-scale pilot is scheduled for 2027, with a first issue planned for 2029 if the legislative timetable is respected. The iron lady of Frankfurt will then be able to look back at what she has built: a more sovereign monetary Europe, less dependent on the dollar, and still wary of unregulated crypto-assets.