The International Monetary Fund (IMF) said in a strongly worded statement that the euro zone must take a coordinated action to revive economic growth. The IMF also cited the need to repair bank balance sheets and advance a banking union and support the demand.

"Growth remains weak and unemployment is at a record high. Concerted policy actions to restore financial sector health and complete the banking union are essential," the IMF said in a regular assessment of the currency bloc's economy.

"The centrifugal forces across the euro area remain serious and are pulling down growth everywhere," it said in a statement.

The euro zone economy was hit by the severe sovereign debt crisis that required massive bailouts of several of its smaller members. One of the most recent hits would be that of Greece which secured a EUR6.8 billion lifeline.

"Reviving growth and employment is imperative. This requires actions on multiple fronts .... A piecemeal approach, on the other hand, could further undermine confidence and leave the euro area vulnerable to renewed stress."