Central bank chief told term will not be renewed, source says

Greek central bank governor George Provopoulos has been formally told his six-year term will not be renewed, a Bank of Greece source said on Wednesday, ahead of an expected announcement that former finance minister Yannis Stournaras will replace him.

Prime Minister Antonis Samaras has called Provopoulos to inform him the government will not back him for a second term after his current one expires later this month, the source said.

“The prime minister thanked Provopoulos for his service,» the central bank official told Reuters, on condition of anonymity.

The Bank of Greece’s General Council will meet later on Wednesday to name Provopoulos’s successor. The job is widely expected to go to former finance minister Yannis Stournaras.

Greece’s central bank governor also has a seat on the governing council of the European Central Bank.

Provopoulos, 63, oversaw the recapitalisation of Greece’s banking system under the terms of the country’s international bailout and had publicly said he wanted a second term. [Reuters]