Economics, Estonia, EU – Baltic States, Financial Services

According to Lipstok, the key issue in this will be the budget deficit criterion. The total budget deficit will have to be less than 3% of GDP this year as well as in the future. The head of the Estonian central bank stated that Estonia will not have any problems with compliance with the rest of the criteria.

Estonia's Government sector debt is one of the smallest among the EU countries, the exchange rate has remained stable for nearly 17 years, legal acts are in compliance with those of the euro area and there is no cause to think that the long-term interest rate criterion would get a negative assessment.

According to Lipstok, the Bank of Estonia will be technically prepared for the adoption of the euro and a year will be enough so that both the public and the private sector would be able to complete all preparations.

The Estonian central bank estimates that Estonia should be able to adopt the euro by the year 2011.