A top European Central Bank policy maker has publicly backed the rapid use of the eurozone’s bailout fund to buy stressed sovereign bonds on the open market, saying such action could ease the “very severe strain” being felt by Spain and Italy.

Speaking to the Financial Times, Beno?t C?uré, the ECB executive board member who oversees financial market operations, also said a cut in interest rates was likely to be discussed at next month’s ECB rate-setting meeting, to help boost confidence. But he stressed that political agreement on fiscal integration was needed to tackle the eurozone’s underlying problems.

Mr C?uré expressed surprise that no government had yet asked the European Financial Stability Facility, the eurozone’s €440bn rescue fund, to buy sovereign bonds to drive down borrowing costs.