Six new Members open ERM II entry talks

Hungary, along with Estonia, Latvia, Lithuania, Malta and Cyprus have initiated confidential negotiations with the ECB on entering their currencies into the EU’s ERM II (Exchange Rate Mechanism for candidate countries).

Citing the Polish News Bulletin, media reports in Hungary said on 10 October that Poland, the Czech Republic, Slovakia and Slovenia were not involved in the negotiations. Zsigmond Járai, the President of the National Bank of Hungary, confirmed that negotiations had started. Under current rules, all euro candidates would have to spend at least two years in the Exchange Rate Mechanism for candidate countries (known as ERM II) prior to adopting the single currency, during which time they would have to meet the Maastricht Treaty economic convergence criteria.  

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