BoE's Ramsden: Brexit deal may cause rates hike

Friday, 18. October 2019 08:56

The Bank of England's Deputy Governor for markets and banking Dave Ramsden said on Friday that a smooth Brexit deal may initiate rates increase. He stressed that ''limited and gradual" would be a reasonable framing of rate hike stance and the pound variations are making things more complex.

The Bank will observe currency markets after the Brexit deal vote in Westminster. Ramsden also assessed that successful finalization of an agreement between the United Kingdom and the European Union "may finally remove the shackles off the BoE".

Earlier this week, Governor Mark Carney said the BoE may cut rates "close to, but slightly above zero" if necessary amid Brexit situation. Nevertheless, a deal between the UK and the EU made in Brussels may change the course of the Bank, if ratified.

The vote on Brexit deal in the British Parliament is scheduled for Saturday.

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Breaking the News / GA