Carney - low global nominal growth environment creates challenges

Bank of England’s (BOE) Carney, while speaking at the Financial Stability plenary session in Tokyo, said low global nominal growth environment creates challenges.

Carney added further that low growth problem cannot be cured by monetary policy alone.

Key quotes

Effective macro-prudential policies can help tackle domestic financial stability vulnerabilities that may be exaggerated by volatile capital flows

Banks continue to face range of challenges to profitability

Plenary session discussed financial vulnerabilities vs backdrop of weakening economic outlook, low price pressure and high debt levels