BERLIN, June 13 (Reuters) - German Finance Minister Wolfgang Schaeuble said on Tuesday the European Central Bank needed to exit its current monetary policy “in a timely manner”, warning that very low interest rates had caused problems in some parts of the world.
“Ultra-loose monetary policy in many regions has been encouraging undue risk taking, policy complacency, capital misallocation and asset price bubbles, and will continue to do so if it is not reversed in time,” Schaeuble said in a speech.
“We need to exit current monetary policy in a timely manner and return to a more normal course,” Schaeuble said.
He added that the Federal Reserve in the United States had already begun this process and the ECB had recently tweaked its communication in a way that could be seen as pointing in a similar direction. (Reporting by Michael Nienaber; Writing by Madeline Chambers)