Poehl to Remain Bundesbank Chief, Magazine Says

Chancellor Helmut Kohl has decided to keep Bundesbank President Karl Otto Poehl in office for a further eight years, the news magazine Der Spiegel said.

Government officials were not immediately available to comment on the report, which said that because Poehl is a member of the Social Democratic Party (SPD), Kohl had not taken the decision lightly.

Poehl has been Bundesbank chief since January 1, 1980, while Kohl’s conservative/liberal coalition has held power since 1982.

Der Spiegel said Kohl would have preferred to offer the post to a member of his Christian Democratic Union (CDU).

But the magazine noted Poehl enjoyed a good international reputation. Officials have often said Poehl and CDU Finance Minister Gerhard Stoltenberg hold each other in high regard.

Poehl’s current term expires at the end of this year. Officials have said no date has been set for an announcement on whether his tenure will be extended.

Poehl was made an economic adviser to SPD Chancellor Willy Brandt in 1971. A year later he was appointed State Secretary at the Finance Ministry when former SPD Chancellor Helmut Schmidt was Finance Minister.

There has recently been press speculation that the Bundesbank presidency may be offered to Poehl’s deputy, Helmut Schlesinger, a conservative monetarist.

According to these reports, Schlesinger would be replaced two years later by CDU member Hans Tietmeyer, the current Finance Ministry State Secretary.

Also under discussion as president was Johann Wilhelm Gaddum, a member of the Bundesbank board and a CDU member who is known to be close to Kohl.