FRANKFURT, Nov 15 Reuters The European Central Bank should cut interest rates further to support a nascent economic recovery in the euro zone, also in the face of potential new trade tariffs in the United States, ECB board member Piero Cipollone said on Friday.

The ECB has cut interest rates three times since June after seeing inflation, which had hit double digits in the wake of Russia39;s invasion of Ukraine in 2022, drop to its 2 target.

Cipollone, an Italian and the most dovish voice on the sixmember board that runs the ECB, argued that lowering borrowing costs would stimulate investment and boost productivity.

The current balance of risks suggests that we can and should reduce further the current level of monetary policy restriction, Cipollone told an event in Britain. The pace and extent of this reduction will depend on the incoming data.

Conversely, keeping rates too high and economic growth below potential could be selfdefeating because it could lower potential growth, thereby weakening the economys resilience to both demand and supply shocks, Cipollone added.

He did not explicitly mention Donald Trump39;s victory in the U.S. presidential election last week but noted that the prospect of higher trade tariffs… by the United States could significantly weigh on activity and consumer confidence.

These developments could in turn put downward pressure on euro area inflation, the former Bank of Italy official added. However, these disinflationary effects could…