Bulgarian National Bank: We are on the Final stretch on the Road to the Eurozone
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Loading... - Agnes Janos
- 02 Jun 2023
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Bulgaria is approaching the last phase in its journey towards becoming a part of the Eurozone, as affirmed by Iliya Lingorski, a member of the Board of Directors at the Bulgarian National Bank (BNB). Lingorski made this statement during a forum that focused on the benefits for businesses and the economy associated with adopting the euro.
Lingorski emphasized that Bulgaria's membership in the European Banking Union and its core mechanisms, namely the Single Supervisory Mechanism and the Single Restructuring Mechanism, enable the Bulgarian National Bank (BNB) to actively participate in crucial decisions pertaining to the supervision and restructuring of banks in the Eurozone, including those in Bulgaria. He further mentioned that the Bulgarian National Bank and the Ministry of Finance are collaboratively working on aligning the organizational, technical, and regulatory aspects to ensure a smooth transition to the common European currency. Lingorski asserted that the technical prerequisites for this transition have already been fulfilled.
Consequently, Bulgaria finds itself at the initial phase of this journey, on the verge of completing the final leg, which happens to be a crucial and challenging part of joining the European Banking Union and integrating the Bulgarian Lev with the European Monetary Mechanism.
The forum also referred to Croatia as an illustrative example. Since adopting the euro at the beginning of the year, Croatia has experienced a 2.8% increase in its Gross Domestic Product and a reduction in inflation from 10% to 8%.
