G20 to say economic support must be in line with stable price targets
6:31 am Friday, July 09th, 2021
VENICE (Reuters) – G20 finance ministers are set to say that economic support measures must be in line with central banks’ commitments to keep inflation stable, according to the latest version of their statement from a meeting in Venice on Friday.
“We reaffirm our resolve to use all available policy tools for as long as required to address the adverse consequences of COVID-19, especially on the most impacted,” their statement said.
“We will continue to sustain the recovery, avoiding any premature withdrawal of support measures, while remaining consistent with central bank mandates — including on price stability.”
Two sources at the G20 meeting said that the statement was expected to be released without changes. The line about prices was not in a previous version of the statement also seen by Reuters.
Concerns have recently been rising that ultra-loose monetary policy in many countries following the coronavirus pandemic could unleash a surge in inflation surge, possibly testing major central banks’ commitment to maintain stable prices.
(Reporting by Francesco Guarascio; Writing by Leigh Thomas; Editing by Kevin Liffey)
