Follow Latvia investment immigration and stay updated on life in Latvia: Latvia was approved today to adopt the euro starting in 2014, marking the Baltic nation's recovery from economic crisis and demonstrating to the world that the troubled eurozone is still expanding.
Although less than two-fifths of Latvians support the idea, the country will become the 18th eurozone member starting next year. EU finance ministers are set to formally approve this European Commission proposal at a meeting on July 9.
2002 year January 1, the euro, which entered circulation on 1, is now used by approximately 330 million people and has become a major reserve currency.
Olli Rehn, the European Commissioner for Economic and Monetary Affairs, said at a press conference in Brussels: “We have determined that Latvia is ready to adopt the euro starting January 1, 2014.”
Following three years of sovereign debt crises that cast doubt on the survival of the euro and forced governments to agree on fundamental reforms to how economic policy is formulated, Latvia's request to join the eurozone has been politically welcomed.
However, the country will become the poorest member of the eurozone, and major Eastern European economies such as Poland and the Czech Republic have not set a timetable for joining the eurozone.
Rehn also stated: “Latvia's desire to use the euro marks confidence in our common currency. Those who predicted the collapse of the eurozone... were completely wrong.”