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ROME, March 25 (Reuters) - The risk of excessively low price expectations in the euro zone must be tackled decisively, European Central Bank Governing Council Member Ignazio Visco said on Tuesday.
With euro zone inflation far below the ECB's reference value of below but close to 2 percent, Visco warned that price expectations can change suddenly and once this has happened it can be more difficult for authorities to rectify them.
"The risk that long term inflation expectations become detached from price stability must be countered with determination," Visco, who is governor of the Bank of Italy, said in a speech in the northern Italian city of Pavia. (writing by Gavin Jones)