1 Jul 2015
UK relatively well-shielded from Greek crisis exposure – BOE’s Carney
FXStreet (Mumbai) - Speaking at the a press conference about the Financial Stability Report in London on Wednesday, Bank of England (BOE) Governor Mark Carney highlighted that risks from emerging markets have increased as Chinese policymakers now face a challenging balancing act.
He also noted that while banks' resilience has risen, risks have shifted to markets that connect them and the central bank will take any actions required to safeguard financial stability to UK. While sounding concerned that adjustment in risk appetite leads to permanent dislocation in financing.
On Greece, Mr. Carney said that the financial policy committee had discussion on the latest Greek developments while the central bank was in close contact with its Euro zone partner.
He further added that although UK had considerable exposure to Eurozone, the British economy is relatively well-shielded from Greek crisis exposure and a series of defenses are in place in the event of a possible Greek exit from Euro.
He also noted that while banks' resilience has risen, risks have shifted to markets that connect them and the central bank will take any actions required to safeguard financial stability to UK. While sounding concerned that adjustment in risk appetite leads to permanent dislocation in financing.
On Greece, Mr. Carney said that the financial policy committee had discussion on the latest Greek developments while the central bank was in close contact with its Euro zone partner.
He further added that although UK had considerable exposure to Eurozone, the British economy is relatively well-shielded from Greek crisis exposure and a series of defenses are in place in the event of a possible Greek exit from Euro.