Bank of Estonia to be headed by its deputy governor from June 2026

MOSCOW. Dec 16 (Interfax) - Estonian President Alar Karis has signed a decree appointing the deputy governor of the Bank of Estonia (the country's central bank), Ulo Kaasik, as the organization's head starting June 7, 2026, according to the official website of the head of state.

"The consistent role of the Bank of Estonia as a stabilizing factor for state finances has been particularly important in the difficult conditions of recent years. I expect the same from the future governor of the Bank of Estonia," Karis was quoted as saying.

Kaasik will replace Madis Muller as governor of the Bank of Estonia, whose term expires on June 6, 2026. According to the country's legislation, the term of office of the central bank's governor is seven years, and the same person cannot hold this position for more than one consecutive term.

"In the coming years, we will have to move back towards a balanced state budget. Responsible budgetary policy plays a key role in ensuring that the Estonian economy is competitive and inspires trust among investors. Control over state spending contributes to the stability of the tax system, which is important for Estonian entrepreneurs and the population," Kaasik was quoted as saying.

The governor of the Bank of Estonia participates in the decision-making on interest rates of the European Central Bank as part of the ECB Council. The central bank plays an important role in advising the government on economic policy and also participates in the development of the European Union's financial system. In particular, the Bank of Estonia advocates the development of the digital euro.

Ulo Kaasik has been deputy governor of the Bank of Estonia since 2011 and is a member of the Estonian Fiscal Council. Previously, Kaasik headed the Monetary Policy Department of the Bank of Estonia and worked as an economic advisor to the prime minister.