CARNEY: 'We have a clear plan and it is working'
"We're doing our job so that the British people can do theirs," he said.
Markets around the world have collapsed in the wake of Britain's shock vote to leave the European Union, with uncertainty about what Europe and Britain's future economies may looks like.
Carney said that the Bank is taking action to ensure that "we can all look ahead, not over our shoulders."
He added: "We have a clear plan, we are rapidly putting its main elements in place, and it is working."
Carney spoke at a press conference at the Bank's Threadneedle Street headquarters on Tuesday morning, following the release of the bi-annual Financial Stability Report.
Carney noted that the Bank is carrying out all measures it can to ensure prosperity. Its plan includes operating to the very edge of financial regulations, but not beyond. "The law's the law, the rules are the rules," Carney said.
However, he once again emphasised the fact that there are limits to what the Bank of England can do to combat the initial financial shock of Britain's decision to leave the European Union. The BoE will "not be able to fully and immediately offset" the market impacts of the referendum, Carney said.
Carney added that many of the potential risks it had identified in the run up to the referendum "have begun to crystallise." In other words, the doom-laden predictions he and the rest of the Monetary Policy Committee made are beginning to come true.
Despite his warnings about the limits of the Old Lady of Threadneedle Street's powers, he soothed fears surrounding a drying up of borrowing following the referendum. He said: "The system's going to be there for someone who wants to buy a house or a business person with a viable plan."
Carney highlighted the Bank's move to increasing lending limits for banks as evidence, a move announced in the Financial Stability Report. He said: "Our actions today alone have released up to £150 billion in new lending capacity to UK businesses and households."
Three-quarters of British banks will immediately have greater flexibility to lend as a result of these measures, he added.
He also moved to assuage any fears about the state of the British financial system, noting that all the UK's major banks and building societies survived stress tests last year that put them through more than twice the share price fall that they experienced during the financial crisis.
He reiterated that the BoE is ready to inject as much as £250 billion of extra capital into the financial system, saying: "The Bank of England is also able to provide substantial foreign currency liquidity if needed."
The governor noted that there are some small positives to be taken from the economic shock of the referendum, pointing out that the huge fall in the pound, which has slipped to a new 31-year low on the day, should provide support to UK exports in the short term.
He also noted that there in terms of financial regulation, nothing will change in the UK system until the UK's negotiations to leave the European Union are completed.