How much do you know about Croatia’s economy? And what about the steps the country had to take to adopt the euro?

Our host Katie Ranger and economist Martin Bijsterbosch explore these topics on The ECB Podcast.

The views expressed are those of the speakers and not necessarily of the European Central Bank.

Published on 16 February 2023 and recorded on 7 February 2023.

In this episode:

01:00 – Croatia’s economy

What Croatia’s economy looks like, and what ties the country already had with the euro area before joining the single currency.

04:00 – The path to joining the euro

Why Croatia only adopted the euro in 2023, convergence criteria and what the country needed to accomplish in order to join the euro area.

08:53 – Croatia's response to economic shocks

How Croatia’s economy has been affected by the pandemic and Russia’s invasion of Ukraine.

13:05 – Adopting the euro in a high-inflation environment

How the euro changeover is going in a high-inflation environment and how Croatian authorities are monitoring and handling any deliberate increase of prices during the transition.

15:59 – What’s next for Croatia?

The next steps on Croatia’s path towards full economic convergence with the euro area, and the main economic challenges facing the country.

18:59 – Our guest’s hot tip

Additional material:

The ECB Podcast: What does it take to change a currency?, 28 January 2023

https://www.ecb.europa.eu/press/tvservices/podcast/html/ecb.pod230128_episode50.en.html

Interview with Christine Lagarde, President of the European Central Bank, conducted by Marina Klepo on 19 December 2022

https://www.ecb.europa.eu/press/inter/date/2022/html/ecb.in221231~16c85cd5a3.en.html

Croatian euro coins

https://www.ecb.europa.eu/euro/coins/html/hr.en.html

Croatia changeover

https://www.ecb.europa.eu/euro/changeover/croatia/html/index.en.html

President Christine Lagarde's New Year's greeting and welcoming Croatia into the euro area

https://www.youtube.com/watch?v=bDEVfk8oDBA

European Central Bank

https://www.ecb.europa.eu/home/html/index.en.html

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