As a central bank, we are facing up to this challenge as a way of preserving long-term confidence in the single currency in Europe in an evolving financial world. Thank you for your attention. 1 ECB staff macroeconomic projections, published in early March 2023.
All of them can result in serious economic problems if unattended. In Bosnia and Herzegovina, as you all know, we have a currency board regime. We do not have independent monetary policy, nor can we use nominal exchange rate as a policy tool. If action is needed, we must rely on fiscal policy or use flexible labor markets to bring about the necessary adjustment.