By Sarah Young and Andy Bruce
LONDON (Reuters) -Britain’s finance ministry appointed Jessica Pulay as the next chief executive of the Debt Management Office (DMO), responsible for selling hundreds of billions of pounds of government debt every year.
Pulay will succeed Robert Stheeman who is retiring at the end of June after 21 years heading the DMO.
She will oversee planned government debt sales of 265.3 billion pounds ($330.4 billion) in the 2024/25 financial year, one of the heaviest issuance remits on record.
“I am delighted that Jessica will be taking the reins at the DMO – a sovereign debt manager that is held in the highest regard on the international stage,” finance minister Jeremy Hunt said in a statement on Tuesday.
“She brings with her over three decades worth of relevant experience, is highly regarded in the market, and the appointment provides strong continuity to a critical government function as the DMO looks to the future.”
Pulay, 57, joined the DMO as co-head of policy and markets in 2015. Previously she worked at the European Bank for Reconstruction and Development for 16 years and was deputy head of funding. Her early career included roles at Morgan Stanley, Goldman Sachs and Deutsche Bank.
She is chair of the Wallace Collection, an art gallery in central London, and was given a civil honour – Commander of the British Empire – in December. Pulay is also board member of the International Finance Facility for Immunisation, an organisation that raises funds for vaccination programmes.
Stheeman oversaw the sale of more than 3.1 trillion pounds of government bonds – known in Britain as gilts – since taking over the DMO in 2003.
During his leadership of the agency, Britain increased its debt issuance to cope with emergencies, including the global financial crisis of 2007-09 and the COVID-19 pandemic which took hold in 2020.
Pulay – the first female DMO chief executive – faces a challenge to maintain investors’ so far healthy appetite for gilts.
The DMO’s latest remit, published in March, pointed to gilt sales of more than 200 billion pounds in each financial year from 2025/26 to 2028/29.
In addition to gilts, DMO sells short-term treasury bills, helps to manage the government’s daily cash flows and provides repo facilities that ensure the gilt market functions smoothly. It also oversees large public sector funds.
Stheeman and Pulay will work together during a handover period until the end of June “to ensure the continued smooth operation of the DMO,” the finance ministry said.
($1 = 0.8030 pounds)
(Reporting by Andy Bruce, Sarah Young and William James; editing by Barbara Lewis)
