OTTAWA - Bank of Canada governor Mark Carney's star keeps rising in international circles.
The 45-year-old former Goldman Sachs executive has been appointed chair of the Committee on the Global Financial System, a position held by Donald Kohn of the U.S. Federal Reserve system the past three years.
The committee -- part of the Bank of International Settlements -- is responsible for identifying potential sources of stress in global financial markets and to promote reforms.
The three-year appointment takes effect on July 1.
Carney became the second youngest central banker in Canadian history two-and-a-half years ago, and has been vocal at international finance meetings about the need to reform the global banking system.
His performance in steering Canadian monetary policy through the recent economic downturn, and his advocacy for reform both at home and internationally hasn't gone unnoticed.
In April, Time magazine put Carney on the list of the world's 25 "most influential" leaders, the only central banker to make the grade.
The magazine highlighted his determination to stay focused on the causes of the financial crisis, while pushing back on proposals for a global bank tax, which Carney and Finance Minister Jim Flaherty successfully fended of at the G20 summit over the weekend.
CIBC chief economist Avery Shenfeld said the latest appointment for Carney is both personal and a recognition of Canada's growing stature as a nation with sound regulatory oversight of its financial sector.
"Other countries are paying much more close attention to Canada's financial system as they look to try to fix their own troubles," he said.
"Canada has been through a tough economic period and the governor has scored high marks in responding to it."
Shenfeld said Carney's previous career in the private financial sector, when he worked with Goldman Sachs, is also seen as a plus given that the Wall Street firm is part of the financial system that G20 leaders are attempting to reform.
The BIS web site describes the committee's mandate as "to identify and assess potential sources of stress in global financial markets, to further the understanding of structural underpinnings of financial markets, and to promote improvements to the functioning and stability of these markets.
