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Schaeuble hoping normalised monetary policy will end "crazy" negative rates

SASBACHWALDEN, Germany, July 3 (Reuters) - Euro zone growth is stronger than expected and this will enable the European Central Bank to slowly normalize its monetary policy and end a "crazy situation" of negative interest rates, German Finance Minister Wolfgang Schaeuble said on Monday.

Speaking to voters in his constituency in the southern state of Baden-Wuerttemberg less than three months before a federal election, Schaeuble said that the euro zone was recovering surprisingly well and that the threat of deflation had vanished.

"If we have more growth and if there is no threat of a deflation, then the ECB will - it cannot do this fast because the problems in some countries in Europe are too big -- then it can slowly start to normalize monetary policy so that we can hopefully soon end this crazy situation of zero interest rates and negative interest rates," he said. (Reporting By Michael Nienaber, editing by Thomas Escritt)