The Eurozone economic recovery process is underway though it is likely to be uneven, European Central Bank Governing Council member Yves Mersch said Thursday.
Writing in an editorial of the Luxembourg central bank's thrice-yearly bulletin, Mersch said the current European Central Bank interest rates are appropriate. The central banker said risks to this outlook remain balanced in an environment marked by persistent uncertainty.
On March 4, the ECB held its key interest rate at a record low of 1% for the tenth consecutive month and pressed ahead with further exit measures. Mersch, who heads Luxembourg's central bank, said the ECB will continue its gradual exit.
With regards to Greece, Mersch said the conditional support pledged by the European Union together with the measures announced by the Greek government should succeed in restoring market confidence. At a press conference, he called Greece's austerity plan "courageous" and said it "goes in the right direction". Further, Mersch reportedly voiced opposition to the use of central bank money to create a rescue fund for Eurozone member nations.
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