Evans also forecast the U.S. unemployment rate would be 7.4 percent this year, easing to about 7 percent in 2014.

Last month, Fed policymakers said they expected GDP growth of between 2.3 and 3.0 percent this year, and 3-3.5 percent in 2014.

(Reporting By Clement Tan; Writing by Anne Marie Roantree; Editing by Daniel Magnowski)