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IMF: Euro adoption to bring benefits to Lithuania

Tarptautinio valiutos fondo misijos vadovė Julie Kozack ir Algirdas Butkevičius
BFL/Vyginto Skaraičio nuotr. / IMF's Julie Kozack and Lithuanian PM Algirdas Butkevičius
Šaltinis: BNS

The introduction of the euro in Lithuania would bring benefits and help reduce risks in the financial markets, Julie Kozack, the head of an IMF mission, believes.

"We think that the membership of the euro area will bring benefits to Lithuania and particularly with respect to reducing some risks, with respect to liquidity, particularly, in the banking system. And it will help reduce risks associated with the currency. So, it could potentially lead to lower borrowing costs to Lithuania," she said at a news conference after meeting with Lithuania's prime minister and finance minister on Monday.

Kozack said that Lithuania has to continue on its path of maintaining financial stability and cutting its debt.

"This is a very welcome goal and we think that the key message is that Lithuania needs to continue on its current path to make sure that the supporting policies are in place for euro adoption. This includes making sure that public debt is lower so that the fiscal policy can play its role. And, off course, that Lithuania maintains the competitiveness," she said.

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