Romania and the Euro’s Adoption. Between Real and Nominal Convergence

Drăgan, Gabriela
Pascariu, Gabriela
Publication date: 
JEL codes: 
E52 - Monetary Policy, E58 - Central Banks and Their Policies.
Romania is one of the least developed countries of the EU, with a level of GDP/capita three times lower than the EU average (1:2, 9 GDP/head and 1:6, 8 GDP/person employed), with a relatively low contribution of services to the PIB achievement, having an excessive labor force in agriculture, a reduced potential of the educational and research infrastructure and the lowest convergence level compared to the EU. According to the Convergence Programme, published at the beginning of 2007, Romania will not accede to the EMU-2 sooner than 2012, which means that 2014 becomes for Romania the most appropriate period for the adoption of euro (The Romanian Government, Convergence Programme, 2007). According to the Government, this period appears to be necessary for the continuation of the structural reform process, necessary for the economy to support euro.
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