ECB's Visco: Extreme prudence must be used before exiting support measures

Central banks must use "extreme prudence" before exiting support measures, European Central Bank Governing Council member Ignazio Visco told G20 on Friday, as reported by Reuters.

Additional takeaways

"Acknowledging that inflation expectations are on the rise but the view is that before getting out of easy money conditions we must wait for a substantial recovery."

"There was no G20 discussion of exiting support measures, we are fully focused on the need for support."

"The resilience of the financial sector has been substantial."

"G20 agreed on the need for increased financial inclusion and access to digitalised payment systems."

Market reaction

The EUR/USD pair remains under strong bearish pressure following these remarks and was last seen losing 0.7% on the day at 1.2090.