The European Central Bank (ECB) Governing Council member Jens Weidmann said in a speech in Paris on Thursday that the Eurozone faces no deflation.

"What we see now is not that we are going towards deflation," he said. Weidmann pointed out that the Eurozone's low inflation is mainly driven by low energy prices.

He also said that the ECB should not expand its asset-buying programme as it will blur the lines between fiscal and monetary policy.

Weidmann noted that Diverging monetary policies in the Eurozone and the U.S. could lead to fluctuations in the foreign exchange market.