Carney is trying to keep the BoE ship in the stormy sea called Brexit

Mark Carney has entered his last year as a ruler of the British Central Bank, and she may be the most turbulent one.

In a mandate in which there was the Scottish referendum, twice Parliamentary elections and Brexit referendum, BOE President now has the last, difficult task of keeping the course of his ship stable. Future relations between the UK and the EU are the main concern, and this means that it has little room for action, at least until things are clear.

Yesterday, the Central Bank kept its base interest rate unchanged at 0.75%, and the risks to Brexit increased significantly. Since last month, Prime Minister Teresa May has drafted a draft agreement with the EU, but then met a huge resistance and resignation from the Cabinet as a protest, party divisions and postponement of the planned parliamentary vote.

The overall economic situation will depend directly on the way UK leaves the European Union. BOE's response, whatever it is, will not be automatic and may be in both directions.

Source: Bloomberg Finance L.P.

Graphs: Used with permission of Bloomberg Finance L.P.

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