Europe's recovery from a recession induced by the Covid-19 pandemic has been somewhat delayed but should pick up pace from mid-year, European Central Bank President Christine Lagarde said in comments published by a French newspaper on Sunday.

With euro zone nations locking down their economies to slow the spread of the novel coronavirus, the bloc's economy shrank last quarter and a contraction in the first three months of 2021 is a distinct possibility as much of the services sector remains shut.