In a letter to the governor, Philip Hammond said that the extension would "support a smooth exit of the United Kingdom from the European Union and an effective transition to the next governor", bringing the curtain down on a chaotic few weeks of guesswork and speculation.
Carney focused heavily on minimising financial market turmoil in the run-up to June 2016's European Union referendum and has warned since of the costs of a disorderly Brexit, drawing fire from Brexit supporters.
A senior government figure said: "The PM thinks he has done a good job in hard circumstances; he is well respected and has a good global standing".
Though the extension is shorter than expected - most were predicting Carney would carry on for another year - the decision does help reduce one of the immediate uncertainties surrounding Brexit.
"I recognize that during this critical period, it is important that everyone does everything they can to support a smooth and successful Brexit", Mr.
"Accordingly, I am willing to do whatever I can in order to promote both a successful Brexit and an effective transition at the Bank of England and I can confirm that I would be honoured to extend my term to January 2020". "I certainly can't make announcements on behalf of the government but I'll do whatever I can to support this process".
Hammond also confirmed that Carney, who said last week he was prepared to stay in his job beyond next June when his term was due to end, had agreed to remain until 2020. Following Britain's Brexit vote, he agreed to remain in place an additional year to the end of June.
The extension isn't the first of Carney's tenure at Threadneedle Street.
"As BoE governor, Carney has not always been universally popular, but appointing him as temporary caretaker through this period of transition does make sense".
"He will install a measure of certainty on monetary policy, which provides some air cover through what will surely be an unpredictable spell".
Bradley wins BMW Championship after playoff
Still to be determined is the penalty. "I assume it will either be a fine or I m adding some events in the fall", Spieth said. He had his fourth back surgery in April of last year, and at this time last year he had just been cleared to chip and putt.
George Weah plays for Liberia in friendlies
George Weah rolled back the years with an appearance for Liberia on the same day son Timothy turned out for the United States. Olajire, quoted Weah as saying, "As a young, upcoming footballer, I was always fascinated by Nigeria's football stars".
Cantona: Guardiola should be Man Utd manager, not Mourinho
Pogba's future with Manchester United is still quite uncertain as the player is finding it hard to play under Jose Mourinho . Then we would play creative football again", he said, adding that it would be just like the days of Sir Alex Ferguson.
FDA chief calls youth e-cigarettes an 'epidemic'
Wednesday, the federal agency announced what it called its largest coordinated enforcement effort in its history. In raw numbers, that is 3.6 million students using tobacco a year ago compared with 4.5 million in 2011.
Elizabeth Smart kidnapper to be released from prison
Barzee pleaded guilty to kidnapping Smart and helping keep her captive for nine months before then-teenager was found and rescued. Barzee's state sentence", wrote Greg Johnson, the director of administrative services, according to the Salt Lake Tribune .
One injured after rockfall at pristine beach in Zakynthos
It is surrounded by steep cliffs and can only be reached by boat but thousands of tourists each year make the journey to visit it. This is the terrifying moment Shipwreck Beach in Zante , Greece was hit by tonnes of rock falling from a cliff .
Apple sticks to higher prices for iPhones in Europe
In the United Kingdom , the iPhone Xs and Xs Max will start at £999 and £1,099 respectively, with the iPhone XR coming in at £749. For users on Apple's upgrade plan, the tricked-out iPhone XS Max will run them a cool $68.66 a month on a 24-month payment plan.