Romania have turned their backs on their original goal of joining the Eurozone by 2015. Prime Minister Victor Ponta now believes this is unfeasible. Ponta claims that 2020 would be more realistic.
Ponta explained that “Eurozone entry remains a fundamental objective for Romania but we can’t enter poorly prepared, as that would first of all be bad for us and also for the other members of the Eurozone.”
Under the terms of EU entry in 2007, Romania agreed to eventually adopt the Euro currency. However, no set deadline was placed on the adoption.
Romanian authorities have frequently missed targets agreed on by the International Monetary Fund and the EU, such as employing professional managers and privatizing state-owned companies.
Romanian President Basescu cautioned last month that unless the competitiveness of the Romanian economy was enhanced that “joining the Eurozone will end as a failure.” However, some commenters claim that fears over the future of the single currency have influenced Romania’s decision.
This news follows the recent announcement that Poland will push back its Eurozone entry from 2015 to an unconfirmed date.
One must wonder whether Latvia (due to join in 2014) will also be having second thoughts.