Mark Carney enters race to become Canada’s next prime minister

VANCOUVER, British Columbia (AP) — Marc Carneyfirst non-Briton to head the Bank of England since its founding in 1694 and former head of Canada’s central bank, said Thursday he is entering the race to become Canada’s next prime minister. following the resignation of Justin Trudeau.

Trudeau will remain prime minister until a new Liberal Party leader is chosen on March 9.

Carney, 59, is a highly educated economist with Wall Street experience, widely credited with helping Canada avoid the worst of the 2008 crisis while he led the country’s central bank. He also helped the UK deal with Brexit during his seven-year tenure as governor of the Bank of England.

“The prime minister and his team have too often let their attention wander to the economy,” Carney said of Trudeau, speaking in Edmonton, Alberta. “I won’t lose my focus.”

The favorites for the leadership of the Liberal Party are Carney and former finance minister Chrystia Freeland, whose abrupt resignation last month forced Trudeau’s departure.

The next Liberal leader could be the shortest-serving prime minister in the country’s history. The three opposition parties have pledged to overthrow the Liberal minority government in a vote of no confidence after Parliament resumes on March 24. Elections are expected this spring.

Carney said he knew the Liberals were “far behind” but said he would win the general election.

Trudeau announced his resignation on January 6 after facing a growing loss of support both within his party and the country.

Carney quickly launched into an attack on the opposition Conservative Leader Pierre Poilievrewho, according to polls, has a large lead over the Liberals.

He also highlighted threats made by President-elect Donald Trump, who said Canada should become the 51st state and threatened to impose 25% tariffs on all Canadian products.

“Now is not the time for long-time politicians like Pierre Poilievre,” he said. “Sending Pierre Poilievre to negotiate with Donald Trump is the worst possible idea. »

Poilievre lumped Trudeau, Carney and Freeland together during a news conference in Vancouver earlier Thursday.

The opposition Conservative Party was ready for Carney’s announcement, releasing a new digital ad calling him the “Carney of the carbon tax” just hours before his speech – a reference to his history of supporting Carney’s policies. carbon pricing.

“Mark Carney is back from Europe to continue what Justin Trudeau started,” the ad says, asserting that he would behave like Prime Minister Trudeau in government.

A major plank of Poilievre’s campaign was the removal of the carbon tax, introduced by the Trudeau government as a tax on the amount of carbon emitted by fuels like gas.

Carney said that if the carbon tax was eliminated, it should be replaced with something that would be “at least if not more effective” and have the same impact in reducing greenhouse gas emissions while making Canadian businesses more competitive and creating jobs.

An official close to Freeland said she would eliminate the consumer carbon tax and instead make big polluters pay. The official spoke on condition of anonymity because they were not authorized to speak publicly before his announcement.

When Carney, who grew up in Edmonton, was named the first foreigner to serve as governor of the Bank of England, it drew praise from both parties in Britain.

“I helped manage several crises and helped save two economies,” Carney said. “I know how business works and I know how to make it work for you.”

Most recently, Carney served as UN special envoy for climate change and led an alliance of international financial institutions pushing for measures to reduce carbon emissions. He has long championed the idea that holding companies accountable for their impact on the planet is the first step toward reducing greenhouse gas emissions.

When Carney led Canada’s central bank, he was credited with keeping money flowing through the economy by quickly lowering interest rates to an all-time low of 1%, working with Canadian bankers to maintain loans during the crisis and, above all, by letting the public know. rates would remain low and they would continue to borrow.

He was the first central banker to commit to keeping them at a historically low level for a defined period of time, a move the U.S. Federal Reserve would follow.

Like other central bankers, Carney is a former Goldman Sachs executive. He worked for 13 years in London, Tokyo, New York and Toronto, before being appointed Deputy Governor of the Bank of Canada in 2003. He has qualifications in both the financial sector and government.

He had long wanted to enter politics and become prime minister, but lacked political experience. The Liberal Party has been trying to recruit him for years.

“Being a politician is very different from being a political advisor or a central banker,” said Daniel Béland, a political science professor at McGill University in Montreal.