Jose Luis Escriva, new Governor of the Bank of Spain, delivers his first speech at the Bank of Spain headquarters in Madrid, Spain, September 24, 2024. REUTERS/Susana Vera

MADRID (Reuters) -European interest rates are at an "appropriate level" and there is no need for further guidance from the European Central Bank, its Governing Council member Jose Luis Escriva told an event in Madrid on Wednesday.

The ECB kept interest rates unchanged earlier this month, as expected, and maintained an upbeat view on growth and inflation, dampening expectations for any further cuts in borrowing costs.

Escriva said the markets were expecting stable rates for some time, even though he would not completely rule out another move.

"Optionality means optionality," he added, referring to the ECB's data-dependent approach aimed at maintaining flexibility rather than committing to a predetermined path for rates.

The policymaker, who also serves as governor of the Bank of Spain, said that the ECB's central scenario had inflation hovering around its 2% target, but he acknowledged that forecast could still change amid an uncertain environment.

Inflation in the 20 nations sharing the euro picked up to 2.2% in September from 2.0% in August, in line with expectations in a Reuters poll of economists.

Escriva said the risks in terms of inflation were well-balanced, adding that downwards risks to economic growth in the euro zone had not emerged.

"It doesn't look like there's a risk of Europe growing too fast," he added.

(Reporting by Jesús Aguado and Emma Pinedo; Writing by David Latona; Editing by Andrei Khalip and Inti Landauro)