Latvia to join euro in 2014?

<p>Latvia may be the next country to join the eurozone.</p>

Latvia could be the next country to adopt the euro, with the nation's prime minister saying on his website that the Baltic State is poised to make the transition in 2014.

In an interview last week at the European People's Party congress in Bucharest, Valdis Dombrovskis stated: "We still plan to join the eurozone on January 1st 2014."

He added that according to the Bank of Latvia, as of September 2012 the country has met almost all the required criteria to join the single currency.

Latvia was the first nation in the European Union to receive a bailout and to implement harsh austerity measures and it has now become one of the region's fastest-growing economies.

Mr Dombrovskis believes that taking on the euro will help the country attract foreign investors and ease transaction tax on its businesses.

At 11:30 BST, the euro was 0.1 per cent lower in forex trading versus the dollar to €1 buying $1.303.

Find out about the euro and forex trading at City Index.

Build your confidence risk free
Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.