Beautiful Virgin Islands

Thursday, Jan 29, 2026

Bank of England Governor Mark Carney says central banks won't be left behind by fintech

Bank of England Governor Mark Carney says central banks won't be left behind by fintech

Carney says the financial system is the most heavily regulated part of the economy and central banks must use its role to act as a guardian to risk.
As big tech firms muscle into the financial world, the governor of the Bank of England says he sees little risk that central banks will be left behind by new technology.

While admitting that central banks would not be “at the cutting edge of innovation,” Carney argued that institutions such as the Federal Reserve and BOE would be needed at the heart of efforts to ensure stability.

“That’s not hubris. The fact is that the financial system .... is the most heavily regulated part of the economy. That’s for a reason, there are lots of ways it can go wrong,” Carney said.

The central banker cited the example of the “huge advances” of financial technology (fintech) in China which has helped to create “one of the larger shadow banking bubbles in the world today.”

“Quite often a good idea leads to other issues which is why central banks and regulators have to be on top of them. And its why we have to look at them as a whole,” said Carney.

The U.K. central bank chief was speaking on an IMF panel moderated by CNBC’s Elizabeth Schulze in Washington on Wednesday.

Carney said one main role of central banks in the development of fintech would be to remove impediments to different parties, ensuring a “level playing field” so good ideas aren’t excluded.

Carney has appeared more open to Facebook’s libra cryptocurrency than other officials. He said on Tuesday that the digital token could help offer an alternative U.K.’s payments system, which he described as “slow and expensive.” As far back as June, Carney had said he was keeping an “open mind but not an open door” on libra.

The central banker has also proposed a virtual currency alternative to the dollar as the world’s reserve currency. Carney argued such a digital currency “could dampen the domineering influence of the U.S. dollar on global trade.”

Facebook’s plan is to create a cryptocurrency underpinned by a basket of global currencies. But central banks have been quick to ramp up their efforts in the digital asset space since Facebook announced libra back in June. The People’s Bank of China for instance has been racing to release a digital currency tied to the yuan, while the Swiss National Bank is exploring the use of digital currencies in trading.

The head of Sweden’s Riksbank on Tuesday told CNBC that libra has been an “incredibly important catalytic event,” incentivizing central banks to reform in order to reflect the digital age. The bank is looking to pilot a digital version of the Swedish krona this year.

Global monetary policymakers have also been wary of Facebook’s proposed libra currency. member Benoit Coeure last month warned the bar for approval when it comes to so-called stablecoins like libra “will be high,” while Chairman Jerome Powell raised “serious concerns” with the token and said the U.S. central bank has set up a working group to investigate it.
Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
Tesla Ends Model S and X Production and Sends $2 Billion to xAI as 2025 Revenue Declines
Starmer Seeks Economic Gains From China Visit While Navigating US Diplomatic Sensitivities
Starmer Says China Visit Will Deliver Economic Benefits as He Prepares to Meet Xi Jinping
UK Prime Minister Starmer Arrives in China to Bolster Trade and Warn Firms of Strategic Opportunities
The AI Hiring Doom Loop — Algorithmic Recruiting Filters Out Top Talent and Rewards Average or Fake Candidates
UK Banks Pledge £11 Billion Lending Package to Help Firms Expand Overseas
Suella Braverman Defects to Reform UK, Accusing Conservatives of Betrayal on Core Policies
Melania Trump Documentary Sees Limited Box Office Traction in UK Cinemas
UK’s Starmer and Trump Agree on Urgent Need to Bolster Arctic Security
Starmer Breaks Diplomatic Restraint With Firm Rebuke of Trump, Seizing Chance to Advocate for Europe
UK Finance Minister Reeves to Join Starmer on China Visit to Bolster Trade and Economic Ties
Prince Harry Says Sacrifices of NATO Forces in Afghanistan Deserve ‘Respect’ After Trump Remarks
Barron Trump Emerges as Key Remote Witness in UK Assault and Rape Trial
Trump Reverses Course and Criticises UK-Mauritius Chagos Islands Agreement
Elizabeth Hurley Tells UK Court of ‘Brutal’ Invasion of Privacy in Phone Hacking Case
UK Bond Yields Climb as Report Fuels Speculation Over Andy Burnham’s Return to Parliament
Prince William to Make Official Visit to Saudi Arabia in February
Prince Harry Breaks Down in London Court, Says UK Tabloids Have Made Meghan Markle’s Life ‘Absolute Misery’
Malin + Goetz UK Business Enters Administration, All Stores Close
EU and UK Reject Trump’s Greenland-Linked Tariff Threats and Pledge Unified Response
UK Deepfake Crackdown Puts Intense Pressure on Musk’s Grok AI After Surge in Non-Consensual Explicit Images
Prince Harry Becomes Emotional in London Court, Invokes Memory of Princess Diana in Testimony Against UK Tabloids
UK Inflation Rises Unexpectedly but Interest Rate Cuts Still Seen as Likely
Starmer Steps Back from Trump’s ‘Board of Peace’ Amid Strained US–UK Relations
Prince Harry’s Lawyer Tells UK Court Daily Mail Was Complicit in Unlawful Privacy Invasions
UK Government Approves China’s ‘Mega Embassy’ in London Amid Debate Over Security and Diplomacy
Trump Cites UK’s Chagos Islands Sovereignty Shift as Justification for Pursuing Greenland Acquisition
UK Government Weighs Australia-Style Social Media Ban for Under-Sixteens Amid Rising Concern Over Online Harm
Trump Aides Say U.S. Has Discussed Offering Asylum to British Jews Amid Growing Antisemitism Concerns
UK Seeks Diplomatic De-escalation with Trump Over Greenland Tariff Threat
Prince Harry Returns to London as High Court Trial Begins Over Alleged Illegal Tabloid Snooping
High-Speed Train Collision in Southern Spain Kills at Least Twenty-One and Injures Scores
Meghan Markle May Return to the U.K. This Summer as Security Review Advances
Trump’s Greenland Tariff Threat Sparks EU Response and Risks Deep Transatlantic Rift
Prince Harry’s High Court Battle With Daily Mail Publisher Begins in London
Trump’s Tariff Escalation Presents Complex Challenges for the UK Economy
UK Prime Minister Starmer Rebukes Trump’s Greenland Tariff Strategy as Transatlantic Tensions Rise
Prince Harry’s Last Press Case in UK Court Signals Potential Turning Point in Media and Royal Relations
OpenAI to Begin Advertising in ChatGPT in Strategic Shift to New Revenue Model
GDP Growth Remains the Most Telling Barometer of Britain’s Economic Health
Prince William and Kate Middleton Stay Away as Prince Harry Visits London Amid Lingering Rift
Britain Braces for Colder Weather and Snow Risk as Temperatures Set to Plunge
Mass Protests Erupt as UK Nears Decision on China’s ‘Mega Embassy’ in London
Prince Harry to Return to UK to Testify in High-Profile Media Trial Against Associated Newspapers
Keir Starmer Rejects Trump’s Greenland Tariff Threat as ‘Completely Wrong’
Trump to hit Europe with 10% tariffs until Greenland deal is agreed
Prince Harry Returns to UK High Court as Final Privacy Trial Against Daily Mail Publisher Begins
Britain Confronts a Billion-Pound Wind Energy Paradox Amid Grid Constraints
The graduate 'jobpocalypse': Entry-level jobs are not shrinking. They are disappearing.
Cybercrime, Inc.: When Crime Becomes an Economy. How the World Accidentally Built a Twenty-Trillion-Dollar Criminal Economy
×