The circumstances surrounding Croatia's adoption of the euro are also a challenge of their own. However, bank regulation and supervision have been substantially upgraded in the last decade. Macro-prudential policy tools are also more developed these days. (III) The third important issue is the macroeconomic effects of the euro.
Given the proximity of EU accession and the adoption of the euro in Slovenia, the effects of these two events are intertwined. That period of euro adoption was marked also by a strong global economic upturn, which was reflected in rising prices.