Bank of Canada Governor Stephen Poloz said he will step down once his seven-year term ends June 2, 2020.

The central bank's board of directors has begun a search process to select Poloz's successor, forming a special committee of independent directors to lead the search.

The recruiting committee will work with executive recruiting firm Boyden, and the search process is expected to be done by spring 2020.

Subject to approval from the minister of finance and the federal parliament, the special committee will appoint the bank's new governor on June 3, 2020, a day after Poloz steps down.