Brussels, 06/05/2008 (Agence Europe) - On Wednesday 17 May, the Commission is to adopt a new report on convergence, which examines compliance with the Maastricht criteria by member states that are to adopt the euro. On this occasion, the Commission will speak in particular on the performance of Slovakia which hopes to join the eurozone on 1 January 2009. According to economic forecasts adopted last week (EUROPE 9652), all points to the Commission and the European Central Bank (ECB) giving the go-ahead. For inflation criteria - the main difficulty -, Slovakia should have a rate of 3.8% in 2008 before falling to 3.2% in 2009. The country seems to comply with interest rate and exchange rate criteria (Slovakia has belonged to the ERM II since November 2005) and the Slovakian debt is far below the 60% threshold.
On Wednesday, the Commission will also suggest that the Council close the excessive deficit procedure opened against Slovakia (as well as that against Italy, Portugal and the Czech Republic), thus opening the way to a favourable opinion on joining the eurozone. If such is the case, the Ecofin Council will discuss the question in June and the Parliament will give its opinion during the plenary session beginning 16 June. Heads of state and government will take a stance during the European Council on 18 and 19 June, before finance ministers take the final decision, notably by fixing the irrevocable exchange rate of the Slovak crown compared to the euro. (A.B.)