The euro zone recovery is taking place and inflation is more of a worry than growth, European Central Bank Governing Council member Klaus Liebscher said on Monday. "The gradual upswing in the economy is there. All the hard facts underline this. I'm more concerned about inflation at the moment," Liebscher told reporters at a conference. The ECB next meets to decide on interest rates on July 1. Financial markets and economists exepct it to stay put throughout much of this year, and then start hiking interest rates by 2005 from their present record low of 2.00 percent.|||