The Commission of the European Union declared over the weekend that Croatia has formally met all the convergence criteria required to adopt the Euro.
This means that the country in the eyes of the Commission the country has:
1) Low inflation rates,
2) No excessive government deficit
3) Existing currency pegged to the Euro for two years
4) No high-interest rates
5) A legal framework that’s ready for Euro membership
The final stages are for the EU Parliament to approve the EU Commission’s findings and for the Member States to give their approval. This is seen though as a technicality, with few expecting anybody to oppose at this late stage.
The findings of the EU Commission make this the last major step on the road to seeing the Kuna (HRK) replaced on Jan 1st next year.
(If you want to read more about who else is set to join the Euro, read our related blog post “The Euro, who will join next“).