Spanish Government Defends Central Bank Nominee Amid Criticism from Opposition

The Spanish government has appointed Jose Luis Escriva, a minister in the Socialist administration, to lead the central bank, drawing criticism from the opposition over concerns about the bank's independence. Prime Minister Pedro Sanchez and Economy Minister Carlos Cuerpo defended the choice, citing Escriva's extensive experience in monetary policy. The opposition People's Party, however, accused Sanchez of filling institutions with loyalists.

The Spanish government defended its appointment of Jose Luis Escriva, a minister in the Socialist-led administration, as the new head of the central bank on Wednesday. Opposition critics argue that the move undermines the bank's independence.

Prime Minister Pedro Sanchez praised Escriva, calling him one of the country's finest economists and an expert on monetary policy. Economy Minister Carlos Cuerpo also supported the appointment, noting Escriva's previous roles, including leading Spain's Independent Authority for Fiscal Responsibility and heading the ECB's monetary policy division.

Despite the government's assurances, the conservative opposition People's Party accused Sanchez of 'colonising' the central bank with loyalists. They argue that the appointment mirrors dictatorial practices. However, some in the Socialist coalition and European banking circles defend the decision as parallel to other European appointments.

(With inputs from agencies.)