ECB Council Member Sees Robust European Economy Amid Rate Hike Uncertainty

A European Central Bank (ECB) governing council member has expressed optimism about the continent's economy, saying it is more robust than anticipated.

Martin Kocher, Austrian central bank chief and a typically hawkish governing council member, noted that there have been 'stronger signals' in the European economy since the summer, driven by improving sentiment indicators and a recovery in industry.

Kocher stated that despite the economic situation being 'fragile', necessary rate moves are being taken while unnecessary ones are avoided. He mentioned that rate hikes can dampen aggregate demand and are unpleasant, but emphasized that it is preferable to achieve the 2 per cent target without further rate hikes.