The dollar’s slide will help the US to reduce its swollen current account deficit, but countries with big surpluses also need to do more to stimulate domestic demand to make the unwinding of global economic imbalances less painful, the Bank of England’s deputy governor said on Friday.

John Gieve, speaking at a conference on sovereign wealth management, warned that the adjustment in the US was being driven by weaker domestic demand rather than stronger demand from abroad. The dollar had fallen less against currencies of countries with the biggest current account surpluses.