The rift on how the world should tackle slowing growth appears to be growing between Germany and a leading European Central Bank (ECB) policymaker.
Germany has come out against the world's major economies launching a coordinated fiscal stimulus package to tackle the growing signs of economic distress around the world.
The country's finance minister, Wolfgang Schaeuble, said at the meeting of G-20 finance ministers in Shanghai, China, Thursday that both fiscal and monetary policy had reached its limit and that the next stage must be reform.
Speaking to CNBC at the G-20 gathering, Ignazio Visco, the Bank of Italy governor and ECB council member said Schaeuble was wrong.
"I don't believe that. It is needed this response on the monetary side.
"There is no sign whatsoever for the time being that there are unintended consequences and that asset prices will increase dramatically" he said Thursday.