OREANDA-NEWS. On January 07, 2009 the working group aimed at finding and coordinating various measures for the adoption of the European common currency gathered for its first meeting at Stenbock House at the invitation of Prime Minister Andrus Ansip, reported the Official website www.valitsus.ee.

The working group includes the Prime Minister, the Minister of Finance, the Minister of Economic Affairs and Communications, heads of the factions of the government association in the Riigikogu, President of the Bank of Estonia and Chairman of the Estonian Chamber of Commerce and Industry.

“Estonia might have a chance to join the Eurozone in the near future,” said Ansip when opening the meeting. “The adoption of the euro, as soon as possible, is in all of our interests. This is why all parties must make an effort to fulfil the requirements needed for the adoption of the euro.”

The Euro group will mainly focus on the fulfilment of the inflation and budget criteria. According to Ansip, the likelihood of the fulfilment of the inflation criterion, which has hindered the adoption of the euro in previous years, has become rather considerable, as also confirmed by the analysis of the Bank of Estonia.

But as there is still a risk of the non-fulfilment of the inflation criterion, the analysis by the Bank of Estonia definitely recommends avoiding any administrative price increases. The same analysis also recommends supporting the flexibility of the labour market.

Another condition that Estonia must monitor especially closely is the budget criterion. Ansip stated that in earlier years the state budget has been balanced and thus this requirement has not been a problem.

“However, the situation has worsened and we must be ready for a negative budget. The government and the Riigikogu are taking all necessary measures to keep the budget deficit as low as possible,” the Prime Minister declared.