FRANKFURT European Central Bank Executive Board member Peter Praet sees no reason to change the ECB's monetary policy at the moment and urged governments to stick to their agreed reform path.
The ECB Governing Council decided unanimously last week to leave the euro zone interest rates unchanged at 0.75 percent, pointing to signs of stabilization in financial markets, yet still a weak economic recovery.
"The monetary policy stance is appropriate," Praet told MNI in an interview published on Monday.
"We have to wait and see what happens while always looking at our main objective and recognizing that the context remains fragile and that downside risks to growth still prevail."
Praet said that euro zone member states had the main role in getting confidence to return by sticking to their promises of cutting down budget deficits.
"Countries may be subject to reversals because of political reasons and all that; there may be external factors with negative contagion," he said. "So it is important that countries underpin currently renewed confidence with effective action."
(Reporting By Eva Kuehnen and Sakari Suoninen)