"The important thing is that we meet all of the Maastricht criteria by 2008. The date for actually introducing the euro in Hungary will be the subject of a separate decision, and will be based on political deliberations," Veres said at a press conference in Budapest.
Hungary is battling a high budget deficit, expected to reach 4.7% of GDP this year, which has to be reduced to under 3% by 2008 according to the Maastricht Treaty, in order for the euro to be introduced in 2010. Brussels has placed the country under an excessive deficit procedure, and has called on the government to submit new plans to cut the deficit by September.
Veres said that Hungary is still treating the 2010 date as a goal for euro entry, but considers the 2008 deadline more important.
"After we meet the criteria in 2008, a political decision will have to be made on when to introduce the euro, taking into consideration that 2010 will be an election year, and also the dates when neighboring countries will join the eurozone. The final word, however, will be declared by the euro club member on when to include Hungary as a member of the club," the finance minister said.
