Mexican cenbank chief to step down

Thursday, December 1, 2016

Mexico's central bank confirmed Thursday governor Agustín Carstens will step down from the post July 1 to join the Bank of International Settlements (BIS) in Switzerland as its general manager next October.

Carstens has headed the central bank since 2010 after serving as Mexico's finance minister. After a six-year term, he won approval for a second stint that began in January.

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He was also re-elected in May as a board member of BIS for a second three-year term. On the new post, "it will be the first time a central banker from an emerging economy, like Mexico, takes the high position," the central bank said in a statement.

Carstens has won acclaim over the years. He has been a key proponent of Mexico's strong macroeconomic fundamentals, advocating sweeping structural reforms and most recently issuing warnings ahead of the election of Donald Trump as the next US president. At one point during the campaign he compared Trump to an economic hurricane of catastrophic proportions.

The announcement of Carstens' move comes only a day after Mexico's senate ratified the appointment of Alejandro Díaz de León as deputy governor of the central bank to replace Manuel Sánchez, who will leave the post at the end of the year.