French President Jacques Chirac called today for closer co-operation between the 12 euro zone countries and the European Central Bank (ECB) in efforts to boost economic growth.
The ECB has been resisting political pressure for lower interest rates and closer dialogue with the euro zone governments, fearing an assault on its independence.
"We need to revive Europe when it comes to growth," Mr Chirac said in his annual Bastille Day television interview, echoing calls by other European leaders who have suggested lower interest rates could help boost sluggish euro-zone growth.
"We need a European policy that is more dynamic on growth, which pre-supposes better co-operation with the European Central Bank, without questioning its independence," he said. Mr Chirac noted that growth in France had been running higher than the average rate in the euro zone.
Last month Finance Minister Thierry Breton revised his 2005 growth forecast for France to at best 2 per cent from a previous range of 2.0 to 2.5 per cent. He cited higher oil prices as one of the factors weighing on economic activity.
Mr Chirac's remarks echoed comments by Prime Minister Dominique de Villepin, who called for closer co-ordination between the euro group and the ECB last month.
Leading politicians in Germany, Italy, Austria and Belgium all have called for the ECB to consider lowering interest rates - now at 2 per cent - to help lift euro zone growth.