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Bulgaria apply in November for entry in euro antechamber

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Bulgaria will apply in November for entry in the mechanism of the European exchange rates (ERM-2), the test of EU monetary stability for two years that the country must pass it before he quit in its own currency, leva, and adopt the single currency, announced by the Bulgarian Finance Minister Simeon Djankov, quoted by Bloomberg.

“We have already started to prepare the documents necessary to apply for entry in the ERM in November,” said Djankov.

There is a great insecurity about what’s happening in the region in terms of financial crisis. This does not affect the application, but could influence how quickly it will be reviewed.

The mechanism in rates will make Bulgaria, the poorest country in the EU, closer to the euro area and to the umbrella protection of the European Central Bank. Bulgaria and Baltic countries Latvia, Estonia and Lithuania were forced to oppose the pressure of devaluation of currencies against the backdrop of the recession in Eastern Europe.

Bulgaria, which joined the EU in 2007, was forced to abandon initial plans to enter ERM-2 shortly after accession due to accelerate inflation and a current account deficit record.