Carney says the financial system is the most heavily regulated part of the economy and central banks must act as guardians.
Carney says the financial system is the most heavily regulated part of the economy and central banks must act to ensure stability.
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. The central banker cited the example of the "huge advances" of financial technology in China, which has helped to create "one of the larger shadow banking bubbles in the world today."
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