London Daily

Focus on the big picture.
Thursday, Apr 09, 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

0:00
0:00
Close
Meghan Markle’s Planned Australia Appearance Sparks Fresh Speculation
Starmer Warns Sustained Effort Needed to Ensure US–Iran Ceasefire Holds
UK to Partner with Shipping Industry to Rebuild Confidence in Strait of Hormuz, Cooper Says
UK Interest Rate Expectations Ease Following US–Iran Ceasefire Agreement
Starmer Signals Major Effort Needed to Fully Reopen Strait of Hormuz During Gulf Visit
UK Fuel Prices Face Ongoing Volatility Amid Global Pressures and Domestic Factors
Kanye West’s Planned Italy Festival Appearance Draws Debate After UK Entry Ban
Smuggling Routes Shift Toward Belgium as Migrant Crossings to UK Evolve
Ceasefire Offers Potential Relief for UK Fuel and Food Prices Amid Ongoing Uncertainty
Iran Conflict Raises Questions Over UK’s Global Influence and Military Preparedness
Senator McConnell Visits Kentucky to Highlight Federal Investment in Local Projects
Kanye West Barred from Entering UK as Legal Grounds Come into Focus
UK Denies Visa to Kanye West After Sponsors Withdraw from Wireless Festival
Trump-Era Forest Service Restructuring Leads to Closure of UK Lab Focused on Kentucky Woodland Health
Foreign Students in the UK Describe Harsh Living Conditions and Financial Pressures
Reform UK Proposes Visa Restrictions on Nations Pursuing Reparations Claims
Public Reaction Divides Over UK Decision to Bar Kanye West
Calls Grow for UK to Review US Base Access Following Concerns Over Escalating Rhetoric
UK Indicates It Will Not Permit Use of Its Bases for Potential US Strikes on Iran’s Energy Infrastructure
UK Prime Minister Defends Decision to Bar Kanye West, Questions Festival Booking
UK Accelerates Efforts to Harmonise Medical Technology Rules with United States
Wireless Festival Cancelled After Kanye West Denied Entry to the United Kingdom
Australia’s most decorated living soldier was arrested at Sydney Airport and charged with five counts of war-crime murder for the killing of unarmed Afghan civilians
The CIA’s Secret Technology That Can Find You by Your Heartbeat Successfully Locates Downed Airman
Operation Europe: Trump Deploys Vance to Hungary to Save the EU
King Charles Faces Criticism From Some UK Christians Over Absence of Easter Message
Former UK Defence Secretary Raises Concerns Over Ability to Counter Iran Missile Threat
UK Signals Non-Involvement in Iran Conflict as Trump Reasserts Firm Deterrence Stance
US and UK Strengthen Medical Device Cooperation Following Tariff Removal
Trump Backs Steve Hilton for California Governor, Highlighting Reform Agenda
UK Seeks Closer Ties With Anthropic as AI Policy Divergence Emerges Across Atlantic
Experts Warn of Evolving Extremism After Teens Arrested in UK Ambulance Arson Case
UK Convenes Talks to Safeguard Shipping Through Strait of Hormuz After Conflict Escalation
Trump Highlights Strong Leadership in Critique of UK Stance on Iran
UK Authorities Review Kanye West’s Entry Status Following Festival Backlash
UK Considers Deploying Aircraft Carrier for US Independence Day Celebrations Amid Renewed Transatlantic Focus
United Kingdom Moves to Attract AI Firm Anthropic Amid Tensions with US Defense Officials
RAF Intercepts Iranian Drones in Middle East to Defend Allied Security Interests
Labour Signals Shift on Foie Gras and Fur Restrictions to Advance EU Trade Talks
Seven Arrested Near RAF Base as UK Authorities Respond to Protest Activity
Economic Pressures Mount as Analysts Warn UK Growth Is Being Constrained by Policy Burdens
UK Green Party’s Push for Church-State Separation Sparks Debate Over National Identity
Strategic Island Emerges as Growing Challenge for United States and United Kingdom Defense Planning
Pepsi Pulls Sponsorship from UK Festival Following Backlash Linked to Kanye West
Signs Emerge of Declining Enthusiasm for Social Media in the United Kingdom
Security Alert Raised Ahead of Meghan Markle’s Planned Visit to Australia
UK Food Halls Defy Hospitality Slowdown, Emerging as Bright Spot in Challenging Market
UK Sets Firm Conditions for Military Action, Insisting on Legal Mandate and Clear Strategy
UK Medicines Regulator Launches Probe into Peptide Clinics Over Health Claims
New North Sea Drilling Unlikely to Significantly Cut UK Gas Imports, Analysis Finds
×