15 August 2014

Már Guðmundsson re-appointed Governor of the Central Bank

Pursuant to Article 23, Paragraph 1 of the Act on the Central Bank of Iceland, the Minister of Finance and Economic Affairs has appointed Már Guðmundsson to the position of Governor of the Central Bank for a term of five years, effective 20 August 2014. 

Már Guðmundsson has served as Governor of the Central Bank since 20 August 2009, and his first term ends on 20 August 2014. He received a BA in economics from the University of Essex and studied economics and mathematics at the University of Gothenburg. He has a M.Ph. degree in economics from Cambridge University, where he pursued doctoral study as well. From 2004-2009, Már served as Deputy Head of the Monetary and Economic Department of the Bank for International Settlements in Basel, Switzerland. Prior to that, he was employed by the Central Bank of Iceland for some two decades, including over ten years as Chief Economist. Már served as economic advisor to the Minister of Finance from 1988-1991. He has written a number of papers and articles on monetary and exchange rate affairs and related topics.

See press release on the Ministry’s website 

Governor Már Guðmundsson has issued the following statement:

“Today the Minister of Finance and Economic Affairs has appointed me to the position of Governor of the Central Bank for a term of five years. In the letter of appointment, the Minister noted that a comprehensive review of the Act on the Central Bank of Iceland is underway. As I have stated before, I consider such a review necessary.

The Central Bank has provided the assistance that has been requested and that it can provide in this endeavour. In my estimation, the review will call for some changes to the Bank’s administrative structure. A number of options are available, and I cannot predict what Parliament’s ultimate decision will be. It is clear to me, however, that such changes could involve re-appointment to the senior management positions within the Bank.

In this context, I consider it appropriate to state that for several years I have been investigating the possibility of working in an international environment again before my age restricts me unduly. I did not consider it timely to do so now, in view of the situation within the Bank, the tasks facing the Bank, and my own family situation. That will change in the near future. As a result, it is not a given that I will seek re-appointment if such a process is undertaken following amendments to the Central Bank Act.

I would like to thank the Minister for his trust in me. It is now time to concentrate fully on the work that lies ahead: lifting the capital controls, safeguarding price stability, shoring up the financial stability framework, and further strengthening the Bank as an institution taking on more extensive tasks than it has generally had to do in the past.

Finally, I wish to thank the staff of the Central Bank of Iceland for their excellent work during the term that is now coming to an end. The Bank’s success depends in large part on the competent, trustworthy people who work there.”

No. 25/2014
15 August 2014