YOGYAKARTA, Indonesia, Jan 20 - European Trade Commissioner Pascal Lamy said on Tuesday the euro exchange rate against the dollar was approaching a level which could harm the competitiveness of the 12-nation currency zone. "Given the rapid and strong decline in the dollar, we are reaching a zone which could harm European competitiveness, which of course would be a problem, although only 10 percent of the European economy is dollar sensitive," Lamy said.
"This is a matter of worry which by the way has also been shared by the president of the (European) central bank, so its a situation where we are reaching a zone which becomes worse." Lamy, who made similar comments earlier this month, was speaking on the sidelines of a meeting with Southeast Asian trade ministers in the Indonesian city of Yogyakarta.//