[Asia Economy Reporter Je Moon-won] Mark Carney, Governor of the Bank of England, warned that the global economic growth rate could decline due to the spread of the novel coronavirus infection (COVID-19).
Governor Carney said this in an interview with Sky News on the 28th (local time). He stated, "What we see from our large corporations and companies worldwide is that supply chains are becoming increasingly tight," adding, "This is a factor that reduces economic activity."
He continued, "We expect the global economic growth rate to decrease. This will have a ripple effect on the UK," explaining, "Although it has not yet appeared in European or UK economic indicators, if global economic growth slows down more than the UK’s, there will be an impact in an open economy."
At the same time, he emphasized, "It is too early to assess the impact and significance of (COVID-19) on the UK," and added, "The most important thing is that the system is functioning. We are very confident about this."
Meanwhile, regarding the damage Brexit (the UK’s withdrawal from the EU) may cause to the UK economy, he analyzed, "It is too early to say. The UK economy will undergo a restructuring process," and "Years of uncertainty have suppressed corporate investment, which has become a factor weakening productivity."
During his tenure, he expressed negative views on Brexit several times, drawing criticism from Brexit hardliners.
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