Romania Foregoes 2015 Deadline For Euro Adoption

04.21.2011 By Florentina Dragu

Romania gave up its self-imposed 2015 deadline for the euro adoption, saying the country will not be able to join the European Exchange Rate Mechanism (ERM-II) before 2013-2014, according to the draft convergence program for 2011-2014.

Romania gave up its self-imposed 2015 deadline for the euro adoption, saying the country will not be able to join the European Exchange Rate Mechanism (ERM-II) before 2013-2014, according to the draft convergence program for 2011-2014.

The initial term to join the ERM-II was set for 2012.

According to the draft convergence program, which was obtained by MEDIAFAX Thursday, Romania must implement further structural reforms to increase economic flexibility and the capabilities to resist asymmetric shocks.

The government didn't specify a new deadline for the euro adoption.

The country's convergence program is subject to annual revisions and will be sent to the European Union pending government approval.

In a separate document, the government said last week that Romania might join the euro area in 2016 or 2017.

"Romania must be prepared to adopt the euro and it has to consolidate its monetary and fiscal policy so that the exchange rate at the time of the adoption is stable," the executive said at the time.