Ewald Nowotny
Encyclopedia
Ewald Nowotny is an Austria
n economist
and social democratic politician and currently president (governor) of the National Bank of Austria and member of the European Central Bank
(ECB)’s governing council.
He graduated with a doctorate
from the University of Vienna
in 1966, took his habilitation
at the Johannes Kepler University Linz in 1972 and has been a full professor at the Vienna University of Economics and Business Administration since 1982.
Since 1974, he has held various functions in the Austrian Social Democratic Party
.
He was a member of the Nationalrat
, the more important chamber of the Austrian parliament, from 1978 to 1999.
From 1999 to 2003, Professor Nowotny was vice president of the European Investment Bank
in Luxembourg
. From the beginning of 2006 until mid-2008, he was the CEO of BAWAG P.S.K.
.
Since September 2008 he has served as the Governor of the Austrian National Bank and member of the ECB governing council. With the 2011 round of the Greek financial crisis, "[s]ome analysts [saw] signs of growing tensions between European officials and the ratings agencies
" and Nowotny gave voice to the concern, saying "that ratings companies were making it more difficult to stabilize the Greek debt situation. 'We have a somewhat strange situation. The banks themselves are ready, because they also have an interest in that, to stabilize Greece,' Nowotny said in Vienna, according to Dow Jones Newswires. 'The ratings agencies are being in this European matter much stricter and more aggressive than in, for example, similar cases in South America.'”
European Central Bank Governing Council member Ewald Nowotny said it’s the ECB’s responsibility to decide whether or not to accept Greek debt as collateral in case rating agencies slap the country with a default rating. “At the end of the day it has to be the decision of the ECB. The ECB should not be totally dependent on rating agencies,” Nowotny said in an interview with CNBC. “It is our own responsibility, our own decision. We have proved this in the case of Ireland, Greece and Portugal, with regard to what kind of collateral we accept.”
Austria
Austria , officially the Republic of Austria , is a landlocked country of roughly 8.4 million people in Central Europe. It is bordered by the Czech Republic and Germany to the north, Slovakia and Hungary to the east, Slovenia and Italy to the south, and Switzerland and Liechtenstein to the...
n economist
Economist
An economist is a professional in the social science discipline of economics. The individual may also study, develop, and apply theories and concepts from economics and write about economic policy...
and social democratic politician and currently president (governor) of the National Bank of Austria and member of the European Central Bank
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...
(ECB)’s governing council.
He graduated with a doctorate
Doctorate
A doctorate is an academic degree or professional degree that in most countries refers to a class of degrees which qualify the holder to teach in a specific field, A doctorate is an academic degree or professional degree that in most countries refers to a class of degrees which qualify the holder...
from the University of Vienna
University of Vienna
The University of Vienna is a public university located in Vienna, Austria. It was founded by Duke Rudolph IV in 1365 and is the oldest university in the German-speaking world...
in 1966, took his habilitation
Habilitation
Habilitation is the highest academic qualification a scholar can achieve by his or her own pursuit in several European and Asian countries. Earned after obtaining a research doctorate, such as a PhD, habilitation requires the candidate to write a professorial thesis based on independent...
at the Johannes Kepler University Linz in 1972 and has been a full professor at the Vienna University of Economics and Business Administration since 1982.
Since 1974, he has held various functions in the Austrian Social Democratic Party
Social Democratic Party of Austria
The Social Democratic Party of Austria is one of the oldest political parties in Austria. The SPÖ is one of the two major parties in Austria, and has ties to trade unions and the Austrian Chamber of Labour. The SPÖ is among the few mainstream European social-democratic parties that have preserved...
.
He was a member of the Nationalrat
National Council of Austria
The National Council is one of the two houses of the Austrian parliament. According to the constitution, the National Council and the complementary Federal Council are peers...
, the more important chamber of the Austrian parliament, from 1978 to 1999.
From 1999 to 2003, Professor Nowotny was vice president of the European Investment Bank
European Investment Bank
The European Investment Bank is the European Union's long-term lending institution established in 1958 under the Treaty of Rome. A policy-driven bank, the EIB supports the EU’s priority objectives, especially European integration and the development of economically weak regions...
in Luxembourg
Luxembourg
Luxembourg , officially the Grand Duchy of Luxembourg , is a landlocked country in western Europe, bordered by Belgium, France, and Germany. It has two principal regions: the Oesling in the North as part of the Ardennes massif, and the Gutland in the south...
. From the beginning of 2006 until mid-2008, he was the CEO of BAWAG P.S.K.
BAWAG P.S.K.
BAWAG P.S.K. Bank für Arbeit und Wirtschaft und Österreichische Postsparkasse Aktiengesellschaft is the fourth largest bank in Austria...
.
Since September 2008 he has served as the Governor of the Austrian National Bank and member of the ECB governing council. With the 2011 round of the Greek financial crisis, "[s]ome analysts [saw] signs of growing tensions between European officials and the ratings agencies
Credit rating agency
A Credit rating agency is a company that assigns credit ratings for issuers of certain types of debt obligations as well as the debt instruments themselves...
" and Nowotny gave voice to the concern, saying "that ratings companies were making it more difficult to stabilize the Greek debt situation. 'We have a somewhat strange situation. The banks themselves are ready, because they also have an interest in that, to stabilize Greece,' Nowotny said in Vienna, according to Dow Jones Newswires. 'The ratings agencies are being in this European matter much stricter and more aggressive than in, for example, similar cases in South America.'”
European Central Bank Governing Council member Ewald Nowotny said it’s the ECB’s responsibility to decide whether or not to accept Greek debt as collateral in case rating agencies slap the country with a default rating. “At the end of the day it has to be the decision of the ECB. The ECB should not be totally dependent on rating agencies,” Nowotny said in an interview with CNBC. “It is our own responsibility, our own decision. We have proved this in the case of Ireland, Greece and Portugal, with regard to what kind of collateral we accept.”