Financial Market Stress Targets Deficit Countries, Warns BoE Governor

In a critical address at the Mansion House in London, Bank of England Governor Andrew Bailey spotlighted the mounting pressures on nations with current account deficits. Unlike their surplus counterparts, these countries are facing significant financial market stress, leading to increased volatility and uncertainty.

Urgent Call for Innovation in UK's Payments Sector

Bailey didn't stop at highlighting challenges; he also pointed towards solutions. The introduction of the Real Time Gross Settlement (RTGS) system, he argued, is a pivotal step towards reducing transaction costs, combating fraud, and enhancing payment functionalities. This move is seen as crucial for maintaining financial stability in these turbulent times.

"We have seen market disturbance this year," Bailey remarked, underscoring the need for vigilance and innovation to navigate the current global financial landscape.