Aleš Michl
Aleš Michl | |
|---|---|
| Born | October 18, 1977 Prague, Czech Republic |
| Occupation | Economist |
| Years active | 2006–present |
| Known for | Governor of the Czech National Bank |
Aleš Michl (born 18 October 1977) is a prominent Czech economist currently serving as the fifth Governor of the Czech National Bank. He has been a member of the Czech National Bank's Board since 1 December 2018 and assumed the governorship on 1 July 2022, following his appointment by the President of the Czech Republic for a six-year term.
Before joining the central bank, Michl built his career as an investment strategist within commercial banking and co-established an algorithm-driven asset management fund. He has contributed scholarly articles and popular writings on economic topics as well as efforts to popularize mathematics. Michl holds a doctorate in finance.
In recognition of his performance, Michl was honored in January 2025 as the top governor in Europe by The Banker magazine and received the Governor of the Year accolade at the Central Banking Awards in March 2025.
Education
Michl completed his PhD in finance at the Prague University of Economics and Business (VŠE) in 2020, having previously earned his master’s degree there in 2002.
He regards Alois Rašín, a pivotal figure in Czechoslovakia’s monetary policy and currency foundation, as an inspiration. Michl aligns himself with monetarist principles influenced by economist Milton Friedman.
Career
From 2006 until 2015, Michl served as an economic and investment strategist at Raiffeisenbank. He also co-founded an algorithmic asset management fund focused on US equities and the Czech money market, eventually divesting his stake and discontinuing investment activities upon joining the Czech National Bank. Between 2014 and 2018, he acted as an external economic advisor to the Czech Ministry of Finance, providing expertise on macroeconomic matters and government debt stabilization. Since 1 December 2018, he has been part of the Czech National Bank’s Board.
Governor
Appointed by President Miloš Zeman, Michl took office as Governor of the Czech National Bank (CNB) on 1 July 2022 for a six-year term amid significant economic difficulties. Inflation stood at 17.5%, reaching a peak of 18%, marking levels unseen since the 1990s, while the bank faced its largest-ever financial loss, necessitating cost reduction measures.
Upon assuming leadership, Michl committed to bringing inflation under control within two years by endorsing higher interest rates and promoting an economy that prioritizes savings over borrowing. His approach included maintaining a robust koruna policy that lowered import expenses for raw materials, contributing to easing inflationary pressures. By spring 2023, the CNB had implemented its most stringent monetary conditions in twenty years, with the koruna attaining record strength. Early in 2024, inflation declined to the targeted 2%, reestablishing price stability and fulfilling the bank’s statutory objectives; Michl was among the earliest European central bankers to accomplish this target.
Under his stewardship, the CNB initiated gold acquisitions and expanded equity holdings within foreign exchange reserves to enhance asset returns and mitigate financial deficits. Confronted with unprecedented growth in operational costs during 2023, Michl introduced efficiency measures including a workforce reduction of 5.1%—the first downsizing in ten years—and decreased senior management roles from seventeen to fourteen directors.
For the first time in its history, the bank commissioned an independent evaluation of its monetary policy framework, which was published in November 2024. In January 2025, Michl launched a study examining potential diversification of foreign exchange reserve investments into new asset categories alongside exploring a pilot Bitcoin portfolio. He became the inaugural governor from a developed nation to openly contemplate Bitcoin inclusion within central bank reserves, while stressing that this remains experimental due to Bitcoin’s price volatility and uncertain long-term valuation. This proposal faced criticism from European Central Bank President Christine Lagarde.
Notable speeches
- The Road to the Target I (University of Economics and Business, Prague)
- The Road to the Target II (Assembly of the Czech Banking Association)
- Aleš Michl: Inflation Levels Remain Too High to Consider Interest Rate Cuts (Senate of the Czech Republic)
- The Road to the Target III (Tomas Bata University, Zlín)
- The Target (Discussion Forum of CNB, Pardubice)
- Controlling Inflation from 18% Down to 2% and Facilitating ESG Financing (Central Banking Summer Meetings, London)
Books
- MICHLiq - průvodce ekonomií a investicemi (A Guide to Economics and Investment), 2014
- Jestřábi a holubice (Hawks and Doves), 2019
- Reset ekonomiky (How to Reset the Economy), 2021
- Matematické hádanky guvernéra ČNB (The CNB Governor’s Mathematical Puzzles), 2024
Academic publications
- The Rushin Index: A Weekly Gauge of Czech Economic Activity, Tomáš Adam, Ondřej Michálek, Aleš Michl, Eva Slezáková
- Managing Volatility and Returns in the Foreign Exchange Portfolio of the Czech National Bank, Tomáš Adam, Aleš Michl, Michal Škoda
- Money and Inflation: The Breakdown of Cointegration, Aleš Michl
- A Decade Later: Insights for DSGE Model Developers and Czech Policymakers, Aleš Michl
- Revisiting Euro Convergence Criteria, Aleš Michl