Co-operative Bank CEO Girol Karacaoglu to swap banking for a role at the Treasury

Girol Karacaoglu, chief executive of the newly minted Co-operative Bank (formerly PSIS), is quitting the bank to become a deputy secretary at government bean counter the Treasury.

He'll start his role at Treasury on March 1 as Deputy Secretary for macroeconomics, international and economic research. In a statement Treasury said Karacaoglu would provide strategic leadership on broad economic policy issues, especially fiscal and monetary policy settings, and New Zealand’s international linkages.

“He will also take on the position of Chief Economist - a role that is critical to championing and lifting the quality and capability of our economic advice - and work with the rest of my Executive Leadership Team to ensure that the Treasury continues to effectively deliver its outcomes," Treasury Chief Executive Gabriel Makhlouf said.

Karacaoglu is leaving after the Co-operative Bank obtained bank registration from the Reserve Bank just last October with its 130,000 members granted a share with equal voting rights in the new bank.

The bank’s chairman David Gascoigne is also leaving on April 1 and director Steven Fyfe, the former deputy CEO of ANZ New Zealand, will take on that role. Paul Goulter has been named as deputy chairman. The previous deputy chairman Colin Hicks died at the end of 2010.

Gareth Fleming will be acting chief executive when Karacaoglu leaves. He is a former senior executive at ANZ  and is currently general manager for marketing and products at the Co-operative Bank.

"He has been an outstanding leader" Gascoigne said of Karacaoglu.

“The position at the Treasury was offered to him, and the board has supported his wish to leave the Co-operative Bank as at March 1 in order to take up that position,” he said.

In Treasury's announcement Karacaoglu said he considered it a privilege to be given the opportunity to help achieve the Treasury’s vision of improving the living standards of New Zealanders.

“There is a huge opportunity in this country to promote equitable and sustainable economic growth through appropriate economic policies," Karacaoglu said.

Prior to PSIS he worked as General Manager at Westpac NZ, Chief Economist at the National Bank of NZ, senior research adviser at the Reserve Bank, and lecturer in economics at Victoria University of Wellington.