The chances and challenges of EMU for Central and Eastern Europe  I am turning now to the final issue: the chances and challenges that EMU holds for Central and Eastern European countries in their process towards EU accession. The creation of the euro will affect Central and Eastern European economies through three main channels.
Since then, with the exception of a modest increase over the period 2000-02, the level of inflation dispersion across the euro area has changed very little, with the average standard deviation of inflation differentials being around 1. Current inflation differentials within the euro area are not unusually large.