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Financial Times: CEB warns on countries not prepared to join Euro currency zone

Joi, 4 octombrie 2007, 0:00

Central European Bank warns on the way Central and East European countries are in readiness for joining the euro zone. Quoting an official CEB warning, Financial Times notes that some of the new members may face difficulties in the process.
A recent inflation growth indicated the existence of overheated economies, wile other issues came out through imbalances, CEB officials say.

The attempts to impose a fixed exchange rate between the euro and the local currencies may also lead to the formation of other problems.

The main reasons to worry for CEB are the high inflation rates and the substantial current account deficits of EU's newest members.

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