BERLIN May 8 German Finance Minister Wolfgang
Schaeuble said on Thursday it was necessary to pare back the
amount of excess liquidity pumped into the system by central
banks so as to avoid fresh bubbles.
"We neede to reduce excess liquidity to prevent new
(speculative) bubbles from forming," he said at a conference
hosted by broadcaster WDR at the Foreign Ministry in Berlin.
The European Central Bank, due to publish a monetary policy
decision later on Thursday, is expected to keep interest rates
on hold despite a stronger euro and low inflation.
(Reporting by Matthias Sobolewski; Writing by Michelle Martin)