Croatian Exchange Rate Stability and Long-Term Interest Rates in Light of the Adoption of the Euro
摘要
This paper provides an overview of Croatia's preparations for joining the Eurozone through the ERM II mechanism and meeting the ECB criteria. The paper studies the fluctuations of the Croatian kuna exchange rate to the euro and the long-term interest rates from Croatia's accession to the European Union, through the ERM II mechanism towards the final entry of Croatia into the Eurozone in the beginning of 2023. Based on the conducted desk research, it can be concluded that Croatia has gone through a long and difficult process of adjusting the exchange rate and long-term interest rates to the convergence criteria.