Matolcsy Advocates Euro Adoption Only After 2030

Analysis

Photo by Raketir / Shutterstock.com

Hungary should not consider adopting the euro before 2030 as joining the single currency before its economy is duly prepared would backfire, central bank governor György Matolcsy said last week, according to news wire Reuters. 

Matolcsy said once Hungary reaches about 90% of the EU's average level in terms of economic development, adopting the single currency could be put on the agenda. 

"It is dangerous to enter the club of the rich while the economy is unprepared for it," Matolcsy told Kossuth Rádió.

"Perhaps around 2030 or a bit later we could reach [...] 90% of the EU's average in terms of development, then it's worth entering [the euro zone] as the euro has many advantages," Matolcsy said. 

Until then, it is worth using the extraordinary room for maneuver that having a national currency allows the Hungarian central bank to boost the economy, he added.

Hungary Motor Fuel Prices Below Regional Avg Figures

Hungary Motor Fuel Prices Below Regional Avg

EC to Propose Opening Excessive Deficit Procedure Against Hu... EU

EC to Propose Opening Excessive Deficit Procedure Against Hu...

Uni of Miskolc, CATL Debrecen Sign Cooperation Agreement Deals

Uni of Miskolc, CATL Debrecen Sign Cooperation Agreement

Int'l Travelers to Europe Prioritize Safety, Quality This Su... Tourism

Int'l Travelers to Europe Prioritize Safety, Quality This Su...

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.