The turmoil in financial markets shows no sign of abating. The sweeping cuts in interest rates by central banks on Wednesday, as the UK took the historic step of part-nationalising its biggest banks to bolster their shattered balance sheets, failed to calm investors’ nerves.

To restore confidence in the banking system and save the global economy from a deep recession, finance ministers and central bankers from the world’s biggest economies must take further credible actions when they meet on Friday.