Adoption of the euro. Prof. Noga: loans at 1%, a great economic stimulus
Should Poland finally adopt the euro, 20 years after its promise? Prof. Marian Noga does not hide that yes. The economist pointed out the main advantages of such a decision.
When joining the European Union in 2004, Poland decided to adopt the common currency. Almost 20 years have passed since then. Is it high time to change this inaction?
Noga: Poland should adopt the euro
– When discussing whether Poland should be in the euro zone, we are constantly talking about how much prices would increase. All experience shows that this only happens to a small extent. From a technical point of view, for some time before the adoption of the euro, shops are obliged to quote prices in the national currency and the euro, which will be introduced after some time – said Prof. on RMF FM. Marian Noga, economist, former member of the Monetary Policy Council.
– The coalition (government – editor’s note) should set us on this course. We have 40 banks in Poland, but what kind of competition is there? If we entered the euro zone, there would be 5,000 banks in Poland. Then loans would also be at 1%. This would be a great economic stimulus – added the economist.
Safe Credit 2%. and what’s next?
Prof. Marian Noga was also asked about the situation on the housing market, also in the context of the Safe Credit 2% program, which is most likely ending.
– Two million Poles want to buy their first apartment. With such high demand and relatively low incomes, it was a good chance to get the first apartment. That’s why I evaluate it positively – said the economist, assessing Safe Credit 2%.
– If there was too much demand for apartments in a short time, prices would increase. Developers were not very quick in implementing their housing projects, so a certain balance was created. Developers must see that they have a chance to sell apartments and therefore their supply should increase – he said.
– There must slowly be a balance between demand and supply of apartments. This would mean price stability. For now, these prices are still rising – added.
Will it be a good year for Poles from a financial point of view? – It seems that is right. There is a labor shortage, especially in large cities, so wages will grow faster than inflation, so this will be a good situation for households – he concluded.
