BRUSSELS (dpa-AFX) - The euro area is exposed to a number of uncertainties both external and internal, Peter Praet, executive board member of the European Central Bank said Friday.
He cautioned that the uncertainty originating from the UK referendum could weigh on economic confidence and partly reverse the recent improvements in investment and consumption.
It is essential to swiftly establish an orderly process that governs the path towards a new post-referendum steady state so as to allow households and firms to swiftly adjust their inter-temporal economic decisions to the new environment, he said at the Financial Times Festival of Finance in London.
'The ongoing recovery has shown signs of strengthening, also on the back of an accelerating pass through of monetary policy measures to the broader economy,' Praet said.
The central banker added that the ECB is determined to continue playing its pivotal role in consolidating the upswing in the economic cycle.
Copyright RTT News/dpa-AFX