Mark Carney has seen off fierce competition to land the job of Bank of England governor, replacing outgoing chief Sir Mervyn King next summer.
The appointment comes as a shock as the majority of commentators expected Bank deputy governor Paul Tucker to take the top job.
Carney (pictured), 47, is currently the eighth governor of the Bank of Canada and the chairman of the Financial Stability Board, an institution of the G20. He will become the first foreign head of the Bank of England.
He had appeared to rule himself out of the running recently in a series of interviews, telling the BBC he "was looking forward to working with the new Bank of England governor" before adding "no" when asked directly if he was going to take the job.
Carney also serves as chairman of the Financial Stability Board (FSB) and as a member of the board of directors of the Bank for International Settlements (BIS).
He is a member of the Group of Thirty, and of the Foundation Board of the World Economic Forum, and spent 13 years working for Goldman Sachs in its London, Tokyo, New York and Toronto offices.
In a statement, Carney said he takes the role at a critical time for the UK economy. "I am honoured to accept this important and demanding role, and to succeed Sir Mervyn King with whom I have worked closely over these past five years and from whom I learned so much," he said.
"This is a critical time for the British, European and global economies; a decisive period for reform of the global financial system including its leading financial centre, the City of London; and a crucial point in the Bank of England's history as it accepts vital new responsibilities."
Although King is not standing down until 30 June 2013, Chancellor George Osborne has been busy interviewing the shortlisted applicants over the past few months, and made his announcement of the chosen candidate to Parliament this afternoon.
In its advertisement for the governor's job, the Bank said it wanted "a person of undisputed integrity and standing" who could inspire confidence and credibility within the Bank and throughout financial markets.
Tucker had been supported by many in the City even though he was embroiled in the LIBOR scandal earlier this year as emails from 2008 were published between him and Jeremy Heywood discussing Barclays' actions.
Carney saw off competition from respected figures in the financial markets such as Lord Adair Turner and Sir John Vickers to land the job.
The salary and pension deal for the new governor is still undecided, according to reports, but King benefits from a £200,000 a year final salary pension for life, and takes home a basic salary of £305,000 a year, which has been frozen since 2010. He has reportedly refused offers of pay increases to as much as £400,000.
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