Alexander Nekrassov reports from the City of London: You know what’s really weird about the current Governor of the Bank of England, Mark Carney, who is now telling us that the inflation rate in Britain is- wait for it – zero percent? (Come on, Mark, go visit a supermarket for once instead of your house help and see for yourself!) It’s not that he talks about the supposed boisterous economic recovery in Britain with s straight face, when there is no recovery, or caters for the interests of the banks, supports huge bonuses to bankers whether they screw up or not and doesn’t really care that his 0.5 base rate of interest has absolutely no impact on the rates charged by most lenders. No, it’s not all that. The really weird thing about Mr Carney is that he is a foreigner, a Canadian, and has spent 13 years, yes, as long as that, working for Goldman Sachs, the banking group that had played such an unsavoury role in the financial crash of 2008 and was caught selling toxic assets to its own clients.
Now, you can call me old fashioned and cynical, but I fail to grasp the concept of having a foreign citizen and a former Goldman Sachs operator running Britain’s central bank. For I have always though that the BoE had as much to do with national security as, say, MI5 and MI6 or the armed forces or the Cabinet Office or the civil service. It’s those organisations where you would not expect a foreigner with unconventional financial connections to be calling the shots. It smacks of a serious conflict of interest, to be honest. Has a whiff of serious controversy about it, if you pardon the strong comparison here, even though no one is implying that Mr Carney has been sharing confidential info with the Canadian government or his former employers. It just doesn’t look right, especially as Britain is not really lacking in in own talent who could have run the BoE without a problem.
What on earth was Chancellor George Osborne thinking when he came up with his brilliant idea of getting Mr Carney to run the BoE? The supposed thinking is that Mr Carney had done a great job as the Bank of Canada boss, printing all that new money and pumping it into the markets, to avoid a meltdown during the 2008 financial crash. Not that anyone has checked how Canada is faring since then and whether all that ‘stimulus’, as printing new money is called now, really helped the nation in the long run.
It appears that Mr Osborne, who doesn’t have any experience of operating in the world of finance, thought that as foreigners are running top banks in Britain and, even more importantly, the biggest football clubs in the Premiership, getting the BoE run by a non-British citizen was no big deal. Is there any other central bank in the world that has a foreigner running it? No, that is not the case. So why wasn’t it an eye opener for Mr Osborne when he came up with that brilliant idea of his to get a Canadian to run Britain’s central bank?
This globalisation thing is getting out of hand, if you ask me. The banks have become way too powerful and have their people all over the place, getting away with daylight robbery and murder, in a financial sort of way, with remarkable ease. If anyone should be appointed as central bankers they should be, first of all, citizens of the countries involved and, secondly, be ready to take on the banks and not side with them.
Yes, something is very odd with a foreign citizen and a former Goldman Sachs running the BoE. And the funniest thing of all is that no one in the British parliament or the media has any problems with it.