Latvia Welcomes Euro as Currency

During the cold war, many Latvians viewed themselves as Europeans trapped at the edge of the Soviet Union, not part of it. Now, the Baltic nation’s leaders are seeking to bind themselves ever more strongly to western Europe by adopting the euro.

Other countries in the European Union are relieved not to be part of the troubled currency club. But Latvian leaders have pressed for membership, convinced that giving up their currency, the lats, in favour of the euro will be a ticket to prosperity and protection. Earlier this month, EU finance ministers approved Latvia as the 18th member of the eurozone, a formality that puts the country on course to begin using the currency on 1 January 2014.

Nearly four years into an economic crisis in the 17-nation eurozone, many Europeans miss the powers they had over long-gone pesetas, drachmas and lira. But Latvia’s aims suggest that for some countries, older ideals of European unity still hold sway.

via The Guardian

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency
trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza