Euro zone still faces risk of deflation - ECB's Visco tells paper

FRANKFURT (Reuters) - The euro zone still faces the risk of a protracted fall in prices, European Central Bank rate setter Ignazio Visco said on Tuesday, adding this was a greater concern to him than the impact of the ECB's ultra-loose monetary policy on savers. "I am more worried about deflation. This is the worst thing that can happen," ECB Governing Council member Visco told German paper Handelsblatt. "With this come bankruptcies and very negative effects on the real economy. I believe we still face a concrete deflation risk," the Bank of Italy governor added. German savers, banks and some policy makers have complained that the ECB's low interest rate and money-printing programme, aimed at reviving inflation, were curbing their profits. (Reporting By Francesco Canepa; Editing by Dominic Evans)