But Draghi he was also scathing about Cyprus's initial plan to impose a levy on insured as well as uninsured bank depositors.

"That was not smart, to say the least, and was quickly corrected (by euro zone finance ministers)," he said.

Draghi said the finance ministers and the International Monetary Fund had wanted Cyprus to help pay for its €10 billion with a levy on wealthy depositors only.

Cyprus, however, had initially also sought to charge those with €100.000 or less even though they had a bank deposit guarantee. The move triggered a wave of concern in financial markets, fearing that investors elsewhere would be unnerved and start a bank run.