ECB monthly bulletin showed that ECB members decided to preserve the benchmark interest rates at 1.00 percent, despite the rise in inflation levels that members believe it reflects higher commodity prices.

Risks to the outlook for price developments are on the upside, while the underlying pace of monetary expansion remains moderate, the bulletin said.

Economic activities in the euro-zone remain positive; however, uncertainty remains elevated. The bank noted that it is essential that price development does not give rise to broad-based inflationary threats over the medium term. Strong vigilance is warranted with a view of containing upside risks to price stability.

Inflation accelerated in February above the 2.0 percent desired rate by the ECB, where it reached 2.3 percent.

The ECB raised growth forecast for 2011 to range 1.3% to 2.1% and 0.8% to 2.8% during 2012.