On the Introduction of the Euro

Published: 4 June 2004 y., Friday
Lithuanian Prime Minister Algirdas Brazauskas said that Lithuania should not hurry to replace its national currency, the litas, with the euro. "I am not very enthusiastic about a speedy introduction of the euro in Lithuania, as some others are," Brazauskas said in an interview with Lithuanian public radio. "We have to strenghten our economy first, to create better living conditions for our people, to increase their income and only then discuss the introduction of the euro," Brazauskas added. He also stressed that the experience of other EU members showed that prices climbed in the countries who joined the eurozone. Lithuania became a member of the EU on May 1 and is seen as a frontrunner candidate to join the eurozone as soon as 2007. The Lithuanian economy grew by 7.5% in the first quarter of 2004 from the same period in 2003, according to official figures. The Lithuanian government and the central bank earlier said the country would start negotiations on joining the eurozone immediately after accession to the EU. The Lithuanian currency, the litas, has been pegged at a rate of 3.4528 litas to one euro since February 2002.
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