The Governor of the Central Bank Patrick Honohan is to retire early.

A formal announcement is expected at the publication of the bank's annual report tomorrow.

Patrick Honohan was appointed to the role of Governor in September 2009 and was to serve a seven year term.

But he will now retire by the end of this year, meaning he will leave the post up to a year early.

He is expected to confirm his intention to go early at the bank's annual report publication tomorrow, and that he is signalling he's leaving now in order to allow for an orderly transition to his successor.

The Central Bank is making little comment on the matter tonight ahead of tomorrow's press conference, other than to say it is a "personal decision".

The 66 year old broke the news to the nation in 2010 that Ireland would be entering a Troika bailout when he went on national radio as Government Ministers denied it.

He has led major changes at the Central Bank and Financial Regulator in the wake of the financial crisis.