Euro zone governments must persist with their economic reforms as geopolitical risks loom, the president of Germany's Bundesbank, Jens Weidmann, has told CNBC.
Speaking following the publication of the central bank's annual report on Thursday, Weidmann said Europe's economic recovery was "a marathon."
"We should continue these efforts to adjust - these structural reform efforts - and we should not diminish them," he said. "There are risks - for instance geopolitical risks - that could also reflect on financial markets, but I will not forecast financial market reaction to that."
In its annual report, the Bundesbank called on the European Central Bank (ECB) to remain focused on inflation in the euro zone,as it reported a seven-fold hike in profit.
(Read more: Euro zone inflation tops forecast)
The ECB needed to be "unambiguously focused on the primary objective of ensuring price stability" in the 18-country currency bloc, the central bank said.
It comes amid lingering concerns about deflationary pressures in Europe, with euro zone inflation coming in at 0.8 percent in February – significantly lower than the ECB's "below, but close to, 2 percent" target.
The central bank also said profit for 2013 came in at 4.6 billion euros ($6.4 billion) - much higher than expected – as it did not need to transfer any more funds into a risk provisions pot, which now stands at 14.4 billion euros. It compares with profit of just 664 million euros in 2012.
Although it warned that lower key interest rates meant the Bundesbank was likely to post a smaller profit in 2014.