"Strasbourg Calling" Ex-Slovak PM L'udovit Odor: Public support for the euro in Slovakia is now over 80%

"The Czechs are not particularly enthusiastic about joining the eurozone", says MEP Odor

MEP Ludovit Odor in the EP Radio Studio 4 with Irina Nedeva and Angelina Piskova

Photo: Rositsa Petkova

Public support for the euro in Slovakia is now over 80%. One of the important factors was that we managed to implement many reforms before entering the eurozone.

This was said in an interview with the Bulgarian National Radio by MEP L'udovit Odor from "Renew Europe", deputy chairman of the EP Committee on Economic and Monetary Affairs (ECON), a former prime minister of Slovakia. Prior to his appointment as prime minister, Ódor served as Deputy Governor of the National Bank of Slovakia, from 2018 to 2023

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Slovakia has been a member of the eurozone since 2009. What were the key factors that made the adoption of the euro in Slovakia successful? Can Bulgaria learn some lessons from your experience?

"First, I would like to greet Bulgaria for its eurozone accession. I know how important this is because I was one of the architects of the euro adoption in Slovakia. One of the critical factors is that we managed to do a lot of reforms before entering the euro area and we had a relatively wide political support which was of key importance", MEP Odor said.

Bulgaria is in a state of a currency board for years. Does it mean it will be easier for Bulgaria than it was for Slovakia to undergo this transition?

"Yes, I think it will be easier for you with a currency board than it was for us with a floating currency because you basically already have a euro but it is with a fixed exchange rate".

What policies should Bulgaria prioritize in order to draw the maximum benefits from joining the eurozone?

"The preparations for the adoption of the euro should take place in at least three important areas: public finances, labor market, financial stability. A small country in the eurozone needs very stable public finances to be able to maneuver. In order to neutralize the shocks hitting the economy, you need a more flexible labor market and support for businesses. Without financial stability, no country can withstand the shocks that are now hitting also the European economy and the world economy in general", explained MEP Odor.

"We joined the eurozone at the best moment - at that time we were in the middle of a financial crisis. If we had not joined then, then it would have been impossible to join at least for the next 10 years. Now I am really glad from a political perspective since the euro presence is an additional anchor on the west side of Europe because the current government is trying to take our policies towards Russia and the euro is a very important tool to stay on the west."

Was there a recession after Slovakia joined the eurozone and how was it curbed by the government?

"Yes, there was a recession everywhere where the financial crisis hit. So our benchmark is always the Czech Republic because we were once one country. When we compared the performance of the two countries in the financial crisis, actually Slovakia fared a little bit better so we cannot attribute this recession to the euro. Also, we did not experience price increases which people fear. For these reasons the support for the euro is still very high in Slovakia," MEP Odor said.

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"Bulgaria should invest seriously in an explanation campaign. Adopting the euro is not an end in itself, but a mechanism to help the economy", L'udovit Odor also emphasized.

According to the ex-Slovak PM, the Czechs "are not particularly enthusiastic about joining the eurozone from the beginning."

"I am more positive probably about the eurozone adoption in Poland and Hungary than the Czech Republic because Czechoslovakia had more than a 100-year history of a very good monetary policy. From that perspective it's not urgent for the Czech Republic to join the euro."

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English publication: Rositsa Petkova
Photo: Rositsa Petkova

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Live studio from the European Parliament in Strasbourg

"Strasbourg Calling" Ex-Slovak PM L'udovit Odor: Public support for the euro in Slovakia is now over 80%

"The Czechs are not particularly enthusiastic about joining the eurozone", says MEP Odor

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