Almost one week after Croatia’s entry into the euro area, a survey has found that its euro changeover has progressed well in its initial phase. The changeover took place on 1 January 2023, marking an important milestone for Croatia, the euro area, and the entire EU.
A large share (51%) of cash payments in shops were already made in euro only on 5 January. A large majority of transactions (93%) resulted in consumers receiving their change in euro only. 35% of Croatian citizens polled said they already carry only euro banknotes, with 36% saying they only carry euro coins.
The withdrawal of kuna banknotes and coins from circulation began in December 2022. By 31 December, 55% of kuna banknotes and one third of kuna coins had already been withdrawn.
Croatia’s retail sector has been coping well with the changeover process and parallel handling of two currencies. No major problems regarding queues or problems at the tills have been reported. The conversion of ATMs (cash dispensers) has also proceeded smoothly, with 70% of all ATMs already distributing euro banknotes as from the first hour of 1 January 2023. The number and volume of withdrawals have remained at comparable levels to before the euro changeover.
To protect consumers and address concerns about abusive price increases in the changeover period, the Croatian authorities are taking active measures in line with the rules on introducing the euro. The dual display of prices in kuna and euro became compulsory on 5 September 2022 and will apply until 31 December 2023. A Business Code of Ethics has been introduced to ensure stability of prices for goods and services by helping businesses to correctly recalculate and display prices, without unjustified increases. A national inspection body is tasked to monitor and control prices and can take appropriate measures in case of infringements.
via Reuters
