BRUSSELS, May 13 - French Finance Minister Francis Mer said on Tuesday the European Central Bank had indicated to euro group finance ministers that it saw room for manoeuvre in monetary policy. Speaking to reporters in Brussels, Mer said the 12 euro group ministers had discussed interest rates with ECB leaders on Monday evening. "The ECB took note of our views on that and clearly indicated that there was monetary room for manoeuvre," he said.
Mer said ECB Vice-President Lucas Papademos had given to understand that the room for manoeuvre would be used "if and when it becomes necessary." Mer also said the European Commission's 2006 deadline for member states to member states to balance their budgets had "disappeared" even for the EU executive.//