ECB's Stark on policy efforts for 2007

In the speech 'Applause for 2006 should not abate policy efforts for 2007' given on 25 January Jurgen Stark of the ECB warned of inflation risks in the eurozone and reiterated that the central bank will act to preserve price stability.

"Inflation rates are predicted to hover around 2 pct in 2007 and 2008 respectively with risks to the upside stemming from both economic and monetary dynamics," Stark said in the speech in Brussels.

He added: "The ECB will always do what is necessary to maintain

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