goal, a timetable and commitments to be respected. this prospect resulted in the maastricht treaty in 1992. italy ’ s borrowing rates were very high at the time. but as a result of its involvement in the project of monetary union, italy saw an abrupt fall in its rates, before there was even a decrease in the deficit, which stood at 11 % of gdp! this leads me to believe that if countries make firm commitments, even of a long - term nature, this has an impact in the short term. bis central bankers ’ speeches the ecb has been criticised for not doing more for the governments. is the ecb waiting for government efforts to be made before acting? this idea that there is bargaining between the governments and the ecb is a “ quiproquo ”. our mandate is not to resolve the financial problems of countries, but to ensure price stability and to contribute to the stability of the financial system in full independence. what do you think of the growth pact held dear by francois hollande? it will certainly help, but we need to go further. each country must also make efforts. are you thinking more of structural reforms than of a keynesian stimulus? yes, although, in my view, the focus is too often on labour market reforms, which do not always translate into increased competitiveness because companies sometimes benefit from monopolies or situation rent. so we also need to look at the markets for products and services and liberalise where necessary to increase competitiveness. politically, these are difficult decisions to take. a european agenda of the reforms to be undertaken would help hugely. we also need to strengthen joint decision - making in these areas at the european level. so it is a victory for liberal arguments? no. putting an end to certain situation rents is a question of fairness, for employees and entrepreneurs, and for all citizens. what do you think of the policies followed in france? i welcome the continuation of fiscal consolidation, which remains indispensable, and i also welcome the emphasis on growth potential that will pave the way for recovery. debt reduction is vital. and the country must respect its commitment to bring its deficit back down to 3 % of gdp in 2013 so that it can continue to benefit from low interest rates. you are one of the most influential men in europe, yet you are not elected. does this not pose a problem for democratic legitimacy? i am cognisant of the importance of being accountable for our actions. i stand before

mugur isarescu : convergence towards euro enlargement opening speech by mr mugur isarescu, governor of the national bank of romania, at the european league for economic cooperation ’ s ( elec ) monetary conference, national bank of romania, bucharest, 4 june 2019. * * * as prepared for delivery your excellency baron snoy, dear members of elec, ladies and gentlemen, it is a pleasure for me to open this elec conference, which is the 9th taking place in romania and hosted by the national bank. it all started in 2011 with “ renewable energy and transport infrastructure in the black sea region ”. one year later we talked about “ eastern europe and the emu : finding the optimal path for introducing the euro ”. in 2013, there was the 3rd edition of the danube financing dialogue. the following year the dialogue focused on “ agriculture and environmental protection in central and eastern europe and their contribution to growth and employment ”. in 2016, we discussed “ how the eu can generate a virtuous circle in the black sea region – the case of food and energy security ” and in 2017 we debated on “ the challenges for eastern europe in the present turmoil in the eu and emu – persevering in the reforms and investing for the future ”. the topic of the last year, “ convergence towards euro enlargement ”, is approached again today, which is more than welcome, given the importance attached to this issue. the debate on convergence and euro adoption is broad - based and complex. the topic has been addressed in yesterday ’ s dinner speech by academician daniel daianu. you will discuss it extensively today in two panels, moderated by wim boonstra and servaas deroose. i am looking forward to listening to your views on the matter. however, i would briefly refer to three ideas. first of all, the nbr ’ s approach to euro adoption is a balanced one. on the one hand, we are fully aware that a higher degree of real convergence is needed – at least 70 – 75 percent of the eurozone average in terms of gdp per capita at ppp. otherwise, we would be insufficiently developed and, therefore, vulnerable to asymmetric shocks and unable to synchronise our business cycle with that of other euro area economies. on the other hand, however, a high enough level does not mean that we are so ambitious as to aim for a convergence level of 90 % of