Noyer Says ECB Has Room to Cut Interest Rates, Nikkei Reports

By Russell Ward

Nov. 27 (Bloomberg) -- European Central Bank council member Christian Noyer said the policy board has room to cut interest rates as inflationary pressure eases, the Nikkei newspaper reported in an interview.

Noyer said inflation in the euro region will stay below 2 percent throughout 2009 because of a drop in commodity prices and slowing economic growth, the newspaper reported. The Bank of France governor said he doesn’t rule out the possibility of rate increases either.

To contact the reporter on this story: Russell Ward in Tokyo at rward16@bloomberg.net