Canadian wins Bank Governor job

Mark CarneyCanadian banker Mark Carney has been named as the next governor of the Bank of England.

Chancellor George Osborne announced the appointment of Mr Carney - currently governor of the Bank of Canada and chair of the global Financial Stability Board - in a statement to the House of Commons. He will take over from present governor Sir Mervyn King when his second five-year term of office draws to an end on June 30 next year.
As governor, Mr Carney will have responsibility for setting interest rates, regulating banks and other financial firms, and heading a new committee designed to spot and ward off future crises.

The job is considered to be one of the most powerful in Britain, with the Bank of England taking on extra responsibilities for banking supervision as part of an overhaul of financial regulation following the economic crisis. Mr Carney is the first governor in the Bank's history to be appointed after an open recruitment process, in which the role was advertised and candidates interviewed by a panel.

Mr Osborne said he had recommended Mr Carney to Prime Minister David Cameron, who in turn recommended him to the Queen for appointment. The Chancellor told MPs that Mr Carney was "the outstanding central banker of his generation with unparalleled expertise in financial regulation".

"He will bring a fresh perspective," Mr Osborne told MPs. "He has got what it takes to help bring families and businesses through these incredibly challenging economic times. My responsibility was to get the best for Britain, and with Mark Carney we've got that."

Canadian-born Mr Carney, 47, intends to take on British citizenship to serve as governor for five years, said the Treasury. Mr Carney took up his post as governor of the Bank of Canada in the depths of the financial crisis in 2008.

At the time of his appointment, he was the youngest central bank governor among the G8 and G20 groups of nations and was later named as one of the world's most influential people by Time Magazine in 2010. But it is the 13 years on Mr Carney's CV that he spent at investment banking giant Goldman Sachs that may raise an eyebrow. The 47-year-old worked at the bank's London, Tokyo, New York and Toronto offices.

Mr Carney said: "I am honoured to accept this important and demanding role, and to succeed Sir Mervyn King, with whom I have worked closely over these past five years and from whom I learned so much. This is a critical time for the British, European and global economies, a decisive period for reform of the global financial system, including its leading financial centre, the City of London, and a crucial point in the Bank of England's history as it accepts vital new responsibilities."

Mr Carney said it had been a privilege to serve as the eighth governor of the Bank of Canada, adding that he was proud of the bank's contribution to the resilience of the Canadian economy.
Read Full Story