The topic of adopting the euro in Poland returns from time to time in public space. In general, this has a political goal. It is known that this will not happen in the next few years, because not only does it have no political will, but also our country does not meet the relevant requirements.
This time the topic of the euro in Poland was publicized by the NBP president Adam Glapiński in the magazine “Bank and Kredyt” issued by the Central Bank. “Theoretical considerations regarding optimal currency areas, as well as the current functioning of the euro area clearly indicate that The euro area is not an optimal currency area” – writes the president of the NBP.
“The economies of the euro area remain diverse in terms of production structure, institutional conditions of labor markets, the level of debt or the degree of wealth and real convergence. The above differences mean that The synchronization of business cycles between the euro zone economies is incomplete. Inflation processes often run differently or have different intensity, “said Adam Glapiński in the article.
He noted that the euro zone economies differ in terms of the level of natural interest rates. According to the head of the NBP, this makes The central bank interest rate in the euro area cannot be adequate to all economies of this currency area at the same time. He emphasized that in the past this led to the formation of unstable credit booms in some economies, which in turn caused strong and long -term decreases in economic activity, which was accompanied by a significant increase in unemployment.
“The adoption of the euro by Poland would now pose significant risks for maintaining economic balance and the further process of convergence of the Polish economy” – wrote the head of the NBP.
Among the threats, he indicated the loss of benefits from a liquid gold rate, which “remains an important channel absorbing economic shocks.”
Adam Glapiński does not exclude the possibility of introducing the euro in Poland, but in a very distant time. “In the following decades, with the increase in the wealth of the Polish economy and its convergence towards the wealthiest economies of Western Europe, the assessment of the balance of benefits and economic costs of adopting the euro may change,” he admitted.
