The European Central Bank (ECB) Executive Board Member Peter Praet said on Wednesday that the downside risk of achieving the central bank's 2% inflation target are increased. He added that the ECB will add further stimulus measures if needed.

"Recent developments in the world economy and in commodity markets have increased the downside risk of achieving the sustainable inflation path toward 2 percent. There should be no ambiguity on the willingness and ability of the Governing Council to act if needed," Praet said.

The ECB will release its inflation and growth forecasts on September 3.