Thursday, January 1, 2015

Lithuania in the euro: is the 19th country eurozone – The Messenger

Lithuania in the euro: is the 19th country eurozone – The Messenger

The eurozone widens and goes from 18 to 19 countries. From January Lithuania abandon its national currency, the litas, to join the common currency. This is the last Baltic country, after Estonia (2011) and Latvia (2014) to make this choice that even in light of the crisis Ukrainian assumes a geopolitical significance, as well as economic.

With its three million inhabitants, this former Soviet republic, independent since 1990, is part of NATO since 2004 when we host some bases in its territory. And obviously live for months with growing anxiety the crisis between Moscow and Kiev.

Despite the economic stagnation and the increasing skepticism of many citizens in the Euro, then there are still those who believe in the value of the single currency . Until some time ago many economists spoke of “paradox”, as Lithuania had decided to speed up its entry in the euro in the darkest years of the debt crisis.

Actually not even the Lithuanians were fully convinced of this step. In June of 2013 only 41% of Lithuanians approved the adoption of the euro. But now things have changed, and in mid-December, the percentage of citizens in favor rose to 63%.

To encourage citizens to Europe also fears for the aggressiveness of Russia, with the tension between Moscow and Kiev still high. In November, the President Dalia Grybauskaite has called Russia a “state terrorist” despite the close commercial relations with the “giant” close.

The entry into the euro will allow Vilnius to eliminate the costs of exchange with Europe and will provide greater protection to geopolitical level. Not only according to Valdas Adamkus, who was president of Lithuania from 1999 to 2009, the euro will give the country more freedom to negotiate with Russia.

“The entry in the Euro – explains all ‘ Bloomberg central banker of Vilnius, Vitas Vasiliauskas – is a tool for deepening our European integration: we are closer to the West, the farther we are from the East. As Governor of the Central Bank should not intervene in a debate geo-political but this is the situation today. “

 December 31, 2014 10:35 – Last Updated: 14:53

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