"I don't expect we'll raise short-term rates this year," said Fisher, who is a voting member of the Fed's policy-setting committee this year.
After years of extraordinary interventions designed to push down borrowing costs and boost hiring and investment, the Fed has been winding down its current program of quantitative easing, known as QE3. Fisher opposed the program from its beginning.
Read More Fed's Plosser: We should get to a 3% annual growth rate later this year
The Fed launched QE3 in September 2012 and had been buying $85 billion a month in Treasuries and mortgage-backed securities. In December the Fed voted to scale back the monthly purchases by $10 billion, and it has continued to scale back the purchases by $10 billion at each of its subsequent three meetings.
When policymakers next meet in two weeks, they are expected to continue trimming the program, but at the same time to pledge to keep interest rates near zero to help nurse the recovery.
Read MoreFed's George: Hike rates soon, and not just a little