ATHENS/NICOSIA (MNI) – Cyprus’ president has decided not to
renominate Athanasios Orphanides as head of the Central Bank of Cyprus,
a government official told MNI Thursday.
Orphanides’s term ends at the end of April. In his place will be
appointed Panikos Dimitriades, a 53-year-old professor of economics at
Leicester University in the U.K., the official said.
Cyprus President Dimitris Christofias has been at odds for several
years with Orphanides, who has heavily criticized the economic policies
of the communist government.
For his part, Christofias blamed Orphanides for failing to predict
the extent of losses to the Cyprus banking system from its exposure to
Greek bonds.
Opposition parties have been campaigning heavily in favour of
Orphanides and suggested the new appointee is not a supporter of the
European Central Bank, the mechanisms of the Eurozone or the Stability
and Growth Pact.
“Mr. Dimitriades is a firm supporter of the Eurozone mechanisms.
These suggestions are nonsense,” the government official told MNI.
However, his articles indicate the new Cypriot central banker could
be regarded as a dove within the Governing Council of the ECB, as he
cites support for monetary policy easing.
–Athens bureau, a_papamiltiadou@hotmail.com
[TOPICS: M$$EC$,M$X$$$]
