MNI INSIGHT: G7 Cenbanks Set To Move Independently

--Officials Point To CenBank Virus Actions Individually Tailored 

     TOKYO/BRUSSELS (MNI) - Finance ministers and central bank governors of the

Group of Seven nations are likely to stop short of calling for coordinated

policy action and to leave any monetary easing moves to individual central

banks, MNI understands.

     Officials, who are expected to convene by phone later Tuesday to discuss

the coronavirus outbreak will likely vow to take appropriate action if needed to

underpin the global economy. 

     However, the call is unlikely to come up with a concerted easing move from

central banks and is more likely just to say the G7 will not allow a global

downturn. Policy action are likely to be left to central banks to match with

their own differing needs.

     Central bankers will likely repeat their position of injecting ample

liquidity into the system to support lending, while maintaining an accommodative

environment and stabilize financial markets.

     The International Monetary Fund and World Bank Group issued a joint

statement Monday, saying, "International cooperation is essential to deal with

the health and economic impact of COVID-19 virus."

     That followed statements from Federal Reserve Chairman Jay Powell, BOJ

Governor Haruhiko Kuroda, ECB President Christine Lagarde and the Bank of

England, all offering words of support that helped steady global financial

markets.

     The Fed, ECB and BOE offered to act as needed, while the BOJ offered to

supply ample liquidity and stabilize the financial markets.

--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com

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