European Central Bank said on Thursday that President Christine Lagarde will step down from her role on Feb. 7 next year.

Lagarde was given a standing ovation by the Governing Council of the euro area's central bank, which she has led since July 2019. Her term was due to end in October 2027.

The announcement came ahead of the ECB's latest interest rate decision, due later on Thursday.

European Council President Antonio Costa thanked Lagarde for her "dedication."

"Through a global pandemic, a war in Europe, energy crises and inflation shocks, she has provided a steady and determined stewardship, helping to safeguard stability and the resilience of the euro area," Costa said in a statement.

The process of appointing her successor will begin immediately, he added.

Lagarde, born in Paris in 1956, first worked as a high-ranking lawyer before joining the French government. In 2007, she became the first female Finance Minister of a G7 country. She was appointed managing director of the International Monetary Fund in 2011 before joining the ECB.

Lagarde is viewed as a top candidate to become the next chair of the World Economic Forum, according to Financial Times reporting. In recent media interviews, she has suggested she does not plan a run at the French presidency in the 2027 election.

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