Accessibility links

Breaking News

Slovakia: Bank Considers Changing Currency Basket

Kyiv, 11 May 1998 (RFE/RL) - Officials at the National Bank of Slovakia say they are considering changes to their foreign exchange mechanisms in preparation for the introduction of a common European currency at the beginning of next year.

Marian Jusko, deputy governor of the central bank, today said any changes to Slovakia's currency basket should be finalized within one month so that banks in her country will have time to react to what she called "a new structural basket."

Speaking at the meeting of the European Bank for Reconstruction and Development in Kyiv, Jusko said any changes to the percentages of the currency balance would probably take place next year. She declined to provide details about the central bank's discussions on the issue before a final decision is reached.

Slovakia's fixed exchange rate is based on a currency basket that is based 60 percent on Germany's D-mark and 40 percent the U.S. dollar. Jusko said Germany's membership in the Euro forces a reevaluation of Slovakia's currency basket. She said the central bank would again review the percentages of its currency basket after the first six months of next year to judge how the Euro is being used in trade by Slovak firms.