KUALA LUMPUR: The Prime Minister’s Office will name the new governor of Bank Negara Malaysia this week, ending months of speculation.
Outgoing governor Tan Sri Dr Zeti Akhtar Aziz is currently on leave after attending the spring meetings of the International Monetary Fund and World Bank in Washington, the United States, recently.
Her five-year tenure ends this week.
Several likely candidates have been named in media reports in recent months, including Bank Negara senior deputy governor Datuk Muhammad Ibrahim, Treasury secretary-general Tan Sri Irwan Serigar Abdullah, ambassador to the US Datuk Dr Awang Adek Hussin and Minister in the Prime Minister’s Department Datuk Seri Abdul Wahid Omar.
A senior government official said the choice would take into account the impact on the market, adding that the person could be from inside and outside the central bank.
Of the few names featured in the media, Awang Adek seems a formidable choice, given his vast background in the central banking. He holds a PhD in Economics from the University of Pennsylvania’s Wharton School of Business.
He has not only served as the assistant governor of Bank Negara but also as deputy finance minister, making him familiar with both monetary and financial matters.
It was, however, learnt that the government now wants Awang Adek, whose term ended on April 7, to remain in Washington until a suitable candidate is found to replace him as ambassador.
Irwan, who also sits on the central bank board, is another name identified although those in the government machinery said it would be difficult to find a replacement for him at the Treasury should he be selected.
Likewise, the services of Abdul Wahid, a former banker, is required by the government to head the Economic Planning Unit and see through the 11th Malaysia Plan.
To the market and central bank, it is crucial that the name be released soon as May is one of the busier months on its calendar.
The first quarter gross domestic product results announcement will be the first official media engagement for the new central bank chief.
Less than a week later, he or she will be chairing the monetary policy committee meeting, which is on May 18 and 19.