epa06725531 The Bank of England Governor Mark Carney during a press conference in London, Britain, 10 May 2018. The Bank of England has kept interest rates at 0.5 percent and cut its growth forecast for the UK economy.  EPA/WILL OLIVER
The Bank of England Governor Mark Carney. Now is perhaps a chance to change the way the establishment is run. Will Oliver/EPA

Bank of England too big a ship for one person to sail

Mark Carney, the Canadian hailed as a rock-star central banker when he became governor of the Bank of England in 2013, has only a year to go before he leaves office.

Already the race to succeed him is under way. But is this a job that any one person should have?

Mr Carney, who was busy fielding questions from the press last week about the BoE’s decision to keep interest rates on hold at 0.5 per cent, is the central figure in determining British monetary policy. He chairs the committee that sets rates and decides on unconventional measures such as quantitative easing. He also chairs the Financial Policy Committee (FPC) set up in response to the crisis of 2008 to consider and respond to systemic threats to financial stability. A third weighty task is chairing the Prudential Regulation Committee, which determines the supervision of not just individual banks but also insurers.

That’s too much power to confer on one person, however gifted, and one institution, however gilded.

There is a strong case for revisiting the reforms that have concentrated excessive authority at the BoE over and above its core responsibility in monetary policy. More immediately, there is also a strong case to shorten the length of time that any one individual can head so powerful an institution.

One of the reforms strengthening the BoE since the 2008 financial crisis is welcome. Its new capacity to tackle looming risks to financial stability makes sense. Central banks have in fact long been involved in this task. Already in the 19th century the Bank was intervening in order to quell banking panics. The “macroprudential” toolkit available to the FPC provides an alternative to the blunt instrument of raising interest rates to arrest dangerously strong credit growth. The committee can, for example, instead require banks to hold more capital against their lending or restrict loans to individuals who are borrowing high amounts in relation to their income.

The BoE’s role in supervising individual banks and insurers through the Prudential Regulation Authority is more questionable. When Labour chancellor Gordon Brown made the Bank independent in setting interest rates in 1997 he stripped away its banking supervisory job, which moved to a new body, the Financial Services Authority (FSA). Conservative chancellor George Osborne undid this in a 2012 law, handing supervision back to the central bank, arguing that the divorce had contributed to the financial crisis.

Neither the Bank nor the FSA handled the banking crisis well, but Osborne’s rationale for his reform was unconvincing. There was a similar split of functions in Canada, yet it did not succumb to the crisis. By contrast, supervision by the central bank did not spare other countries, notably the United States, where the Fed – though not the only regulator – plays a crucial part through overseeing bank holding companies. The root of the problem was that supervision was generally too lax, whoever was formally in charge. As Adair Turner, the last head of the FSA before it was disbanded in 2013, argued soon after the financial crisis, the fundamental flaw was unwarranted “intellectual assumptions about the self-correcting nature of financial markets”.


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A reversal of Mr Osborne’s supervisory reform is necessary eventually in order to tackle the undesirable accumulation of power at the BoE. But now is not the right time to take such a step. Institutional disruption exacts its own cost. Banks would hardly welcome yet another reshuffling of regulatory functions so soon after the last one.

That makes it all the more pressing to curtail the time that any one individual can head this extraordinarily influential institution. Mr Carney’s successor will be able to serve for eight years – the same as the president of the European Central Bank. This is too long, the more so since other checks and balances such as the appointment of external members to the three key committees are a feeble curb on the sway of the Bank insiders led by the governor.

A simple and manageable reform would be to limit the tenure of governors to a single term of six years, which happens to be the same as Mr Carney’s when he leaves next year. There should be no return to the former system allowing a governor to be reappointed for a second five-year term, which meant that Mervyn King was governor for 10 years between 2003 and 2013.

Whoever takes over from Mr Carney next year would do well to stick to the beat and avoid the temptation to sound off about subjects that do not lie strictly within the central bank’s remit. The governor has had good reasons to talk about climate change, since it creates risks for banks as well as insurers. But venturing too far beyond the conventional territory of central banking can give the impression of overreach.

The concentration of power at the BoE is not necessarily in its interest or that of its governor. The crucial role remains that of monetary policy, which itself has become more controversial as quantitative easing has raised asset prices and helped the government finances by lowering bond yields. When Mr Brown set the Bank free to set interest rates in 1997, the then-governor Eddie George was incensed at the chancellor’s failure to square with him that the quid pro quo was loss of bank supervision. But Mr George accepted it was a price worth paying. That remains the case.

The greatest danger facing an overmighty BoE is that there is an eventual backlash that puts in jeopardy its cherished independence in monetary policy. A celebrity leader is not what the Bank now needs.

Indeed, a degree of humility on the part of his successor may be his or her most vital quality.



Pat Cummins (capt), Scott Boland, Alex Carey, Cameron Green, Marcus Harris, Josh Hazlewood, Travis Head, Josh Inglis, Usman Khawaja, Marnus Labuschagne, Nathan Lyon, Mitchell Marsh, Todd Murphy, Matthew Renshaw, Steve Smith, Mitchell Starc, David Warner


5pm: Maiden (PA) Dh80,000 1,200m
Winner: Ferdous, Szczepan Mazur (jockey), Ibrahim Al Hadhrami (trainer)
5.30pm: Arabian Triple Crown Round-3 Group 3 (PA) Dh300,000 2,400m
Winner: Basmah, Fabrice Veron, Eric Lemartinel
6pm: UAE Arabian Derby Prestige (PA) Dh150,000 2,200m
Winner: Ihtesham, Szczepan Mazur, Ibrahim Al Hadhrami
6.30pm: Emirates Championship Group 1 (PA) Dh1,000,000 2,200m
Winner: Somoud, Patrick Cosgrave, Ahmed Al Mehairbi
7pm: Abu Dhabi Championship Group 3 (TB) Dh380,000 2,200m
Winner: GM Hopkins, Patrick Cosgrave, Jaber Ramadhan
7.30pm: Wathba Stallions Cup Conditions (PA) Dh70,000 1,600m
Winner: AF Al Bairaq, Tadhg O’Shea, Ernst Oertel

Profile of VoucherSkout

Date of launch: November 2016

Founder: David Tobias

Based: Jumeirah Lake Towers

Sector: Technology

Size: 18 employees

Stage: Embarking on a Series A round to raise $5 million in the first quarter of 2019 with a 20 per cent stake

Investors: Seed round was self-funded with “millions of dollars” 


6.30pm Meydan Classic Trial US$100,000 (Turf) 1,400m

7.05pm Handicap $135,000 (T) 1,400m

7.40pm UAE 2000 Guineas Group Three $250,000 (Dirt) 1,600m

8.15pm Dubai Sprint Listed Handicap $175,000 (T) 1,200m

8.50pm Al Maktoum Challenge Round-2 Group Two $450,000 (D) 1,900m

9.25pm Handicap $135,000 (T) 1,800m

10pm Handicap $135,000 (T) 1,400m


The National selections

6.30pm Well Of Wisdom

7.05pm Summrghand

7.40pm Laser Show

8.15pm Angel Alexander

8.50pm Benbatl

9.25pm Art Du Val

10pm: Beyond Reason

Company Profile

Company name: Namara
Started: June 2022
Founder: Mohammed Alnamara
Based: Dubai
Sector: Microfinance
Current number of staff: 16
Investment stage: Series A
Investors: Family offices


Uefa Champions League semi-final:

First leg: Liverpool 5 Roma 2

Second leg: Wednesday, May 2, Stadio Olimpico, Rome

TV: BeIN Sports, 10.45pm (UAE)

The specs

Price: From Dh180,000 (estimate)

Engine: 2.0-litre turbocharged and supercharged in-line four-cylinder

Transmission: Eight-speed automatic

Power: 320hp @ 5,700rpm

Torque: 400Nm @ 2,200rpm

Fuel economy, combined: 9.7L / 100km

Asia Cup Qualifier

Venue: Kuala Lumpur

Result: Winners play at Asia Cup in Dubai and Abu Dhabi in September


Wed Aug 29: Malaysia v Hong Kong, Nepal v Oman, UAE v Singapore

Thu Aug 30: UAE v Nepal, Hong Kong v Singapore, Malaysia v Oman

Sat Sep 1: UAE v Hong Kong, Oman v Singapore, Malaysia v Nepal

Sun Sep 2: Hong Kong v Oman, Malaysia v UAE, Nepal v Singapore

Tue Sep 4: Malaysia v Singapore, UAE v Oman, Nepal v Hong Kong

Thu Sep 6: Final


Asia Cup

Venue: Dubai and Abu Dhabi

Schedule: Sep 15-28

Teams: Afghanistan, Bangladesh, India, Pakistan, Sri Lanka, plus the winner of the Qualifier

How to volunteer

The UAE volunteers campaign can be reached at www.volunteers.ae , or by calling 800-VOLAE (80086523), or emailing info@volunteers.ae.

Confirmed bouts (more to be added)

Cory Sandhagen v Umar Nurmagomedov
Nick Diaz v Vicente Luque
Michael Chiesa v Tony Ferguson
Deiveson Figueiredo v Marlon Vera
Mackenzie Dern v Loopy Godinez

Tickets for the August 3 Fight Night, held in partnership with the Department of Culture and Tourism Abu Dhabi, went on sale earlier this month, through www.etihadarena.ae and www.ticketmaster.ae.

How to donate

Send “thenational” to the following numbers or call the hotline on: 0502955999
2289 – Dh10
2252 – Dh 50
6025 – Dh20
6027 – Dh 100
6026 – Dh 200

UAE - India ties

The UAE is India’s third-largest trade partner after the US and China

Annual bilateral trade between India and the UAE has crossed US$ 60 billion

The UAE is the fourth-largest exporter of crude oil for India

Indians comprise the largest community with 3.3 million residents in the UAE

Indian Prime Minister Narendra Modi first visited the UAE in August 2015

His visit on August 23-24 will be the third in four years

Sheikh Mohamed bin Zayed, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the Armed Forces, visited India in February 2016

Sheikh Mohamed was the chief guest at India’s Republic Day celebrations in January 2017

Modi will visit Bahrain on August 24-25


Goalkeepers: Ali Khaseif, Fahad Al Dhanhani, Mohammed Al Shamsi, Adel Al Hosani

Defenders: Bandar Al Ahbabi, Shaheen Abdulrahman, Walid Abbas, Mahmoud Khamis, Mohammed Barghash, Khalifa Al Hammadi, Hassan Al Mahrami, Yousef Jaber, Salem Rashid, Mohammed Al Attas, Alhassan Saleh

Midfielders: Ali Salmeen, Abdullah Ramadan, Abdullah Al Naqbi, Majed Hassan, Yahya Nader, Ahmed Barman, Abdullah Hamad, Khalfan Mubarak, Khalil Al Hammadi, Tahnoun Al Zaabi, Harib Abdallah, Mohammed Jumah, Yahya Al Ghassani

Forwards: Fabio De Lima, Caio Canedo, Ali Saleh, Ali Mabkhout, Sebastian Tagliabue, Zayed Al Ameri

The BaaS ecosystem

The BaaS value chain consists of four key players:

Consumers: End-users of the financial product delivered

Distributors: Also known as embedders, these are the firms that embed baking services directly into their existing customer journeys

Enablers: Usually Big Tech or FinTech companies that help embed financial services into third-party platforms

Providers: Financial institutions holding a banking licence and offering regulated products

Mubalada World Tennis Championship 2018 schedule

Thursday December 27

Men's quarter-finals

Kevin Anderson v Hyeon Chung 4pm

Dominic Thiem v Karen Khachanov 6pm

Women's exhibition

Serena Williams v Venus Williams 8pm

Friday December 28

5th place play-off 3pm

Men's semi-finals

Rafael Nadal v Anderson/Chung 5pm

Novak Djokovic v Thiem/Khachanov 7pm

Saturday December 29

3rd place play-off 5pm

Men's final 7pm

The Way It Was: My Life with Frank Sinatra by Eliot Weisman and Jennifer Valoppi
Hachette Books


Brazil 2 Croatia 0
Neymar (69'), Firmino (90'+3)    

  • I would recommend writing out the text in the body
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  • It can be as long as you link
  • But I recommend you use the bullet point function (see red square)
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  • Be wary of other embeds lengthy fact boxes could crash into
  • That's about it

Tour de France Stage 16:

165km run from Le Puy-en-Velay to Romans-sur-Isère


Manchester City 1 Sheffield United 0
Man City:
Jesus (9')


Company: Vault
Started: June 2023
Co-founders: Bilal Abou-Diab and Sami Abdul Hadi
Based: Abu Dhabi
Licensed by: Abu Dhabi Global Market
Industry: Investment and wealth advisory
Funding: $1 million
Investors: Outliers VC and angel investors
Number of employees: 14

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