Wim Duisenberg holds on to the euro - and his office

Asked in an interview with the French daily newspaper Le Monde on Wednesday whether he would quit after four years, he said: "I had hoped you would not ask this question. The answer is 'no'."

Then, in an interview with Italian newspaper La Repubblica on Thursday, Mr Duisenberg emphasised that he had been appointed for eight years. "Whether I want to stay until the last day or not is something which we shall see in due course, but it is certain that I want to remain for a long time, he added.

However, his latest comments made at the launch of the single currency in Brussels the bank chief said he would no longer say anything publicly about when he might step down.

May row

Mr Duisenberg had been chosen as ECB president only after a noisy row in the run-up to an EU summit in Brussels this May. Nearly all EU members had opted for Mr Duisenberg, head of the Dutch central bank, to lead the ECB. The bank is in charge of monetary policy in the countries joining the new single currency, the euro. The French government however, tried to install its own candidate, Bank of France governor Jean-Claude Trichet.

At the summit EU politicians and central bankers appeared to have reached a compromise. Mr Duisenberg promised that he would step down early, and Mr Trichet in turn was promised to succeed the Dutchman.

Back in May Mr Duisenberg had stated that "given my age I do not wish to stay in office for the full term". He appeared to suggest that he might serve only four years. During recent weeks though he has appeared more equivocal. Earlier this month he told a newspaper that he would decide on the duration of his stay at the ECB at a later time. He now seems to have confirmed that he intends to disappoint French ambitions.

Position not new

A spokesman for the ECB said Mr Duisenberg's recent comments were "not new", stressing that his contract runs for the full eight years "and that is untouchable".

Mr Duisenberg has also signalled that he sees the issue of his term in office as one central to the independence of the ECB. "The central bank will not give way to politicians," he has told La Republicca.

Mr Duisenberg's statement will strengthen the ECB's credibility on the financial markets. During recent weeks there had been fears that the bank's governing council might succumb to political pressure, especially after French and German politicians had raised a debate over the direction of monetary policy and especially interest rates.

Snubbing the French government is a sure way to demonstrate the bank's independence.

The president of Germany's Bundesbank, Hans Tietmeyer, said he was not surprised by Mr Duisenberg's intentions. He said that it had always been clear that Mr Duisenberg alone could decide whether he would serve his full eight-year term.