site.btaBNB Deputy Governor Chobanov Confident Transition to Euro Will Be Smooth

Deputy Governor of the Bulgarian National Bank (BNB) Petar Chobanov expressed confidence that the transition to the euro will proceed smoothly. “I believe the transition to the euro will be as smooth as possible, we will protect the interests of the people, and outline new development prospects that depend on us,” Chobanov said on Friday during a discussion on “The Effect of the Eurozone: Lessons from Member States,” organized by the Economic and Social Council of Bulgaria.

Chobanov added that Bulgaria must leverage its eurozone membership to achieve these new opportunities.

The forum, held at the Granite Hall of the Council of Ministers, was opened by Prime Minister Rosen Zhelyazkov. The discussion is part of the activities under the Communication Strategy for the introduction of the single European currency in Bulgaria.

Chobanov said that the positive assessments in the two reports, from the European Central Bank (ECB) and the European Commission (EC), on Bulgaria’s readiness to join the eurozone are a well-deserved recognition of the country’s efforts. “These efforts, especially over recent years, have been made in a tense, uncertain, and relatively unclear international environment. Despite this, we have managed to maintain our stability and make progress regarding our economic integration,” the deputy governor said.

He remarked that preparations for dual pricing of goods and services are already at their final stage and can be observed in certain places.

“Proactive public information about the upcoming changes would facilitate and smoothe this transition without unnecessary tension,” Chobanov said. He added that such tension should also not arise regarding price changes, and that they rely on business organizations for this. “Even if such changes occur, they must be well explained. The control authorities are already active in the field and will fulfill their responsibilities,” he commented.

Petar Chobanov also emphasized that the top priority of the central bank is price stability.

“We have two examples in the EU of currency boards — Estonia and Lithuania — which successfully joined the eurozone without major shocks, without changing their orientation towards maintaining fiscal and financial stability. Therefore, we have every reason to believe that we will continue our efforts in this direction and remain an example of fiscal policy, which also justified us being one of the few countries to meet the criteria without exceptions and to maintain the second lowest public debt level in the EU,” Chobanov said.