Mark Carney agreed to remain at the head of the Central Bank of England by January 2020

September 12, 2018 9:43 am0 commentsViews: 9

Mark CarneyMark Carney has agreed to remain at the head of the Central Bank of England for another seven months, extending his mandate for the second time, to help the British economy run through the Brexit.

British Finance Minister Philip Hammond has put an end to the speculation about the future of Mark Carney, telling MPs that he will not withdraw as planned in June 2019.

“I have discussed with the Governor of the Central Bank to stay for a longer period of time to ensure continuity in the expected turbulent period in the early summer of 2019”, said Philip Hammond. He added that Mark Carney had agreed to extend his mandate by January 2020.

The decision is likely to be contradictory, as Carney’s mandate so far in the Central Bank of England has been both praised and criticized. He is considered as a key source of financial stability in the political vacuum that followed the vote for Brexit. But he was also accused of the conducted monetary policy.

Mark Carney himself has repeatedly said he intends to return to Canada after completing his mandate at the BoE. Extending his mandate, however, eliminates speculation that he plans to return to the federal elections in his own country in October 2019.

With the expiry of the deadline for Brexit, Britain’s future relations with the block remain uncertain, while the current plan of Prime Minister Theresa May is unpopular in the country and abroad.

This is not the first extension of Carney’s mandate. The former Governor of the Canadian Central Bank was appointed to his current post at the end of 2012, after having previously said he was not interested in the position. He initially agreed to stay five years from the eight-year term. After the Brexit referendum, however, he agreed to stay for another year – by the end of June 2019.

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