The Bank of Japan has abandoned quantitative easing and the European Central Bank may taper its bond-buying programme, so what is the role of central banks in 2017, asks Saxo Bank’s chief economist Steen Jakobsen.

Helicopter money may keep interest rates at zero, says Jakobsen, who wonders what kind of fiscal deficit we are allowing to expand.

Deficits supporting state-owned enterprises and social welfare will be non-productive, he insists, while investment in education, internet, roads, ports and airports has a strong margin of return.

Jakobsen says remain aware of how politicians frame fiscal deficit, and doubts many politicians will recognise the difference.