Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

UK names U.S. economist Catherine Mann to Bank of England's MPC

EconomyJun 22, 2021 14:45
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: A pigeon stands in front of the Bank of England in London, Britain, April 9, 2018. Picture taken April 9, 2018. REUTERS/Hannah McKay

By David Milliken and William Schomberg

LONDON (Reuters) -Britain's finance ministry named Catherine Mann, until recently the global chief economist at Citibank, to be the newest member of the Bank of England's Monetary Policy Committee as the central bank navigates its way past the COVID pandemic.

Mann's three-year stint on the nine-member panel - which sets interest rates and oversees the BoE's 895 billion-pound ($1.24 trillion) bond-buying programme - will begin on Sept. 1. She replaces Gertjan Vlieghe, who is stepping down after six years.

"I am very happy to announce the appointment of Dr. Catherine L. Mann," British finance minister Rishi Sunak said. "Her breadth of experience across policy, research and the private sector will be immensely useful to the MPC."

The finance ministry also said that Jonathan Haskel, an economics professor at London's Imperial College Business School, would serve a second three-year term. External members of the MPC can serve a maximum of six years.

The BoE is looking for a new chief economist too, after Andy Haldane - the central bank's biggest worrier about inflation - announced his resignation in April.

Before her three years at Citibank, Mann served as chief economist at the Paris-based Organisation for Economic Co-operation and Development between 2014 and 2017. She was an economist at the U.S. Federal Reserve between 1984 and 1997.

The American joins the British central bank as it tries to steer the world's fifth-biggest economy away from the coronavirus crisis with record levels of monetary stimulus, without triggering a sustained jump in inflation.

In a Citi research note published on June 10, which Mann co-authored with another Citi colleague, she wrote about the inflation challenges that recovery from COVID-19 was posing to central banks around the world.

"Global inflationary pressures from the supply side spread almost simultaneously through production linkages, given that the global production structure is highly inflexible in the short run," the note said.

"There may be spillover effects of supply-side constraints and inflation pressures across different sectors in the U.S., but right now it is too early to call," Mann and colleague Aaron Liu wrote.

In comments in February, Mann stressed that the key issue for central banks fighting inflation was whether businesses had enough power to raise the prices they charge consumers, or if increased costs are absorbed into profit margins.

Many businesses had reported reduced pricing power due to global and online competition, she added.

The BoE said last month it expected inflation to reach 2.5% at the end of this year but to fall back towards its 2% target in 2022 as supply-chain bottlenecks and base-effects from last year's COVID-depressed prices faded.

Mann's appointment will increase the number of women serving on the MPC to two, as she joins Silvana Tenreyro. British lawmakers have criticised the finance ministry for the low number of women appointed to senior roles at the BoE.

($1 = 0.7192 pounds)

UK names U.S. economist Catherine Mann to Bank of England's MPC
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (1)
Chris Hm
Chris Hm Jun 22, 2021 16:53
Saved. See Saved Items.
This comment has already been saved in your Saved Items
British lawmakers...practicing identity politics.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email