Euro zone money supply growth accelerated in April to an-above-forecast 8.8 per cent, official data showed today.
The growth fuelled analysts' expectations of a European Central Bank rate rise on June 8th.
In a further indication that the ECB was poised to tighten monetary policy, Governing Council member Klaus Liebscher was quoted as saying there was a broad spectrum of risks to price stability and strong vigilance was essential.
Money supply growth climbed from 8.5 per cent in March, revised from 8.6 per cent previously, the ECB data showed.
Growth of loans to the private sector in the euro zone rose to 11.3 per cent, the highest since the single currency was launched in 1999, and also above forecast, from 10.8 per cent in March.
However, the data were not dramatic enough to convince analysts that the ECB will opt for a 50 basis point rise in its key rate next week, rather than a quarter-point increase in line with previous rate rises in the current cycle.