With Bank of Canada governor Mark Carney set to take the reins at the Bank of England, British financial figures say an outsider is best-suited to deal with the country’s financial woes.
“Something went badly wrong in the British banking system. It didn’t go badly wrong in the Canadian system,” Channel 4 News’ economics editor Faisal Islam told CTV News. “Britain needs to be sorted out and what better hand to do that than an outside hand.”
Others say Carney will be joining the central bank at a time where the opportunity exists to make a real impact.
“There couldn’t be a worse time to take this job, but there couldn’t be a time where he could make the biggest opportunity than he can right now,” said Ralph Silva of analyst firm HfS. “He can turn this around, he really can.”
Upon making the announcement Monday, Bank of England Chancellor George Osborne described Carney as “simply the best, most experienced and most qualified person in the world to be the next Governor of the Bank of England.”
Osborne told British MPs: "He will bring a fresh perspective. He has got what it takes to help bring families and businesses through these incredibly challenging economic times."
IHS Global Insight chief U.K. and European economist Howard Archer called the appointment "unprecedented" because of the fact that Carney is a foreigner.
However Archer pointed out that his Canadian roots may have boosted his chances for the position.
"The appointment of Mr. Carney likely reflects the view that it is a good time to have a complete new broom ... and that this is easier to achieve with a complete outsider," he told The Canadian Press.
An ad for the top job at England's bank was published in the Economist and other international magazines.
"The successful candidate will have experience of working in, or with, a central bank or similar institution; or will have worked at the most senior level in a major bank or other financial institution. He or she will demonstrate strong leadership, management and policy skills; will have an advanced understanding of financial markets and good economic knowledge," read the posting.
"He or she will be a strong communicator, have good interpersonal skills and will be a person of undisputed integrity and standing."
The position pays nearly $1 million per year and Carney has signed on for a five-year term.
With a report from CTV News’ Ben O’Hara-Byrne and files from The Canadian Press
