"We should all recognise first that it is not the intention of the Greek government to default," Carney said after a speech at an event in Dublin.

"In the shorter term what is the situation in Europe vis-a-vis an individual country like Greece... The ability to avoid contagion from this is considerable if not overwhelming and I would lead towards the latter."

(Reporting by Padraic Halpin; Editing by Angus MacSwan)