Poland in no rush to join the euro

By Jules Johnston

Central bank governor likens eurozone to 'a house that was burning.'

Poland’s central bank governor said the country will be in no hurry to join the euro as long as the single currency keeps moving from crisis to crisis.
“You shouldn’t rush when there is still smoke coming from a house that was burning,” said Marek Belka in an interview with the Telegraph. “It is simply not safe to do so. As long as the eurozone has problems with some of its own members, don’t expect us to be enthusiastic about joining.”

Belka, a former head of the International Monetary Fund’s European division, added: “The eurozone needs to grow solidly and build up a solid foundation for its currency, including elements of fiscal union and common economic policy. This is something that we cannot…fully determine upfront. It’s more of a moving target.”
While Poland is obliged to join the euro as part of its EU membership, Belka suggested there is little chance of that happening under current conditions.
“The situation around Greece does not increase confidence in the euro, that’s for sure,” he said, ”and if we have a political change more into the right, then the enthusiasm to join the euro is going to be even weaker.”
In a warning for the future, Belka also said the biggest risk to the global economy would be the next crisis, as Greece “used so much of our war chest” that a further crisis could be disastrous.
“I think that what has been achieved provides temporary respite but not a solution. The real problem for Greece is how to reinvigorate sustainable growth. Without sustainable growth Greece will periodically fall into problems,” he said.