Padoa-Schioppa: FX alone won't ease imbalances

European Central Bank executive board member Tommaso Padoa-Schioppa said Thursday 25 February that currencies alone could not ease large global imbalances and Europe must increase its growth rate to help the adjustment.

"The exchange rate alone is not sufficient, growth differentials must also adjust and here is where lies the main challenge for Europe today, the challenge is to increase its potential and actual growth," he said.

Padoa-Schioppa said that the ECB respected the fact that the exch