Former BoC governor being considered to succeed Lagarde
There are some big changes ahead for some of the world’s key financial institutions.
This week sees Christine Lagarde step down from her role at the International Monetary Fund for a new job as governor of the European Central Bank. She succeeds Mario Draghi at the ECB.
With the IMF job open, it’s reported that European governments are considering former Bank of Canada governor Mark Carney to be the EU’s nominee for IMF head.
Carney is currently governor of the Bank of England, having extended his stay to provide stability during the Brexit process. However, with the UK’s exit from the EU still uncertain, he may not be keen to make a further delay to his own exit, currently scheduled for January 2020.
Although born in Canada, Carney holds British and Irish passports; important as the EU would want to continue seven decades of a European running the IMF.
A move to the IMF, or even getting the EU’s nomination, is not a certainty and there is always the possibility that Carney may remain in the UK, although it is understood that his successor at the BoE is already being sought.
Whoever takes on that role can expect a tough time ahead although Carney says that the BoE will act as needed to deal with the challenges of Brexit and global trade tensions.
