Spain and the Netherlands compete for a top seat at the European Central Bank

Spain and the Netherlands are competing for an influential post at the European Central Bank (ECB). German economist Isabel Schnabel's seat on the ECB's executive board becomes vacant on Jan. 3, when she leaves for a job at the International Monetary Fund. Spain is backing Hernández de Cos, while the Netherlands is backing Knot. The deadline for candidates to replace Schnabel is Nov. 27.

The ECB is one of the most powerful institutions in Europe. It sets interest rates to keep prices stable at 2% over the medium term. The six-person executive board oversees the bank's day-to-day activities and a large staff of economists who scrutinize financial markets and the wider economy.

Berlin and Paris have their own aims

Berlin is determined to keep the seat Schnabel is leaving in German hands. Paris, meanwhile, is targeting the role of ECB chief economist. The Irish incumbent, Philip Lane, finishes his eight-year term on May 31.

What comes next

Eurozone finance ministers will take stock of the ECB reshuffle at Monday's Eurogroup meeting in Brussels. Neither Hernández de Cos nor Knot is scheduled to attend the closed-door session, but their national ministers are expected to promote their compatriots. Diplomats expect EU leaders to engage in horse trading at an informal summit in Dublin at the end of next week.