World Economy

ECB's Coeure says euro zone, US monetary policy diverge

Daniel Roland | AFP | Getty Images

Monetary policy is on diverging paths in the euro zone and the United States, European Central Bank Executive Board member Benoit Coeure said on Friday, a day after the U.S. Federal Reserve decided to hold off for now on raising interest rates.

"Whatever happens, and whatever the Fed's decision, the monetary trajectories in the euro zone and the United States are very different," he told a conference in Paris.

Coeure added that global growth prospects had darkened overall and worsened markedly in emerging market economies.

"The risks remain on the downside, linked to uncertainties in the global environment," he said.

Coeure added that inflation would only rise very slowly in the euro zone and that economic activity should continue to improve, but at a slower rate than previously thought.