Carney: Eurozone is caught in a 'debt trap'

Alice Rigby
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Bank of England Governor Mark Carney has warned the eurozone could sink further into its 'debt trap' as austerity measures choke off growth.

Speaking in Dublin, Carney (pictured) criticised eurozone countries' efforts to stimulate growth, saying some member states are still falling further behind their peers. “Since the financial crisis, all major advanced economies have been in a debt trap where low growth deepens the burden of debt, prompting the private sector to cut spending further," he said. "As difficult as it has been, some countries, including the US and the UK, are now escaping this trap. Others in the euro area are sinking deeper." Carney was also critical of the single currency area’s austerity measures, s...

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