Riksbank Says Wickman-Parak to Leave Central Bank in May

The Riksbank said Deputy Governor Barbro Wickman-Parak will leave the Swedish central bank when her term expires in May.

Wickman-Parak, 66, will step down from the executive board after six years on May 20, the Stockholm-based bank said in a statement today.

“Now my period of office is coming to an end and at my age I do not wish to commit myself to a further period,” she said in the statement. I notified the chairman and vice chairman of the General Council of my decision not to make myself available for re-election some time ago.’’

Wickman-Parak said last week that the central bank will probably keep rates unchanged at its next rate meeting in April as economic data have come in “roughly” in line and as the krona is reasonably valued “where it is right now.”

Sweden’s central bank last month kept its benchmark interest rate unchanged at 1 percent after cutting it four times since December 2011 to boost growth in the export-reliant economy hit by weak demand from debt-ridden Europe. Policy makers, who have signaled unchanged rates until 2014, will next publish their rate decision on April 17.

“This didn’t at all come as a surprise,” said Par Magnusson, chief economist at Royal Bank of Scotland Plc in Stockholm. “All else equal, the likelihood of a slightly less hawkish board has become bigger.”

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