Donohoe set to chase third Eurogroup term

Having steered the group through the covid pandemic, Mr Donohoe has forged a reputation as a consensus builder among the eurozone finance ministers

Mon, 27 Jan, 2025 - 17:26

Alan Healy

Finance Minister Paschal Donohoe will seek a third term running gatherings of eurozone finance ministers, according to people familiar with his plans.

He has held the position of Eurogroup president since 2020. He was re-elected for a second term in December 2022, and the current term will end this summer.

Having steered the group through the covid pandemic, he has forged a reputation as a consensus builder among the eurozone finance ministers.

The economic policies of US president Donald Trump and potential tariffs are an immediate issue facing the Eurogroup.

Single market plan

In the coming years, it will focus on the capital markets union, the EU’s plan to create a single market for capital in the bloc, as well as on the banking union.

Mr Donohoe was reappointed as minister for finance in the new Government last week. The Eurogroup’s main task is to ensure the close co-ordination of economic policies among members of the eurozone.

Mr Donohoe has previously warned that the EU needs to accelerate its efforts to boost its competitiveness and implement some of the recommendations made by former European Central Bank president Mario Draghi.

“I believe we should look to the future with confidence, but with no complacency,” Mr Donohoe said in an interview with Bloomberg, in relation to Mr Trump’s economic policies.

A spokesperson for Mr Donohoe said he is focused on completing his current mandate and implementing a work plan once it is agreed.