What is the currency in Croatia in 2023?
Croatia is set to join the European Union and adopt the euro on Jan. 1, 2023. This development will also see the country retire its native Croatia currency, the Kuna (HRK), on the same date.
Croatia will abandon its native currency, the Kuna, in favour of the euro early next year.
Payset will support users throughout the transition and convert user assets to euros as required beginning on December 12, 2022.
Kuna Exchange Rate Announced
The Council of the European Union has officially announced Croatia’s transition to the new currency and has set an exchange rate of 7.53450 HRK = 1 EUR. Conversely, 1 HRK = 0.13272 EUR under the established exchange rate.
Croatia entered the EU’s Exchange Rate Mechanism II (ERM II) in 2020, which allowed it to establish a conversion rate at an early date and avoid possible devaluation.
The country’s engagement with EU regulators also means that multiple banks in the country have been supervised by the European Central Bank since 2020.
Croatian National Bank, the country’s central bank, has agreed to monitor developments around the kuna in the forex market until Jan. 1, 2023.
The Eurozone Is Expanding
Most European countries have now adopted the euro. With its entry into the union next year, Croatia will become the twentieth EU member state to do so.
Countries already using the euro include Austria, Belgium, Finland, France, Germany, Greece, Italy, the Netherlands, Portugal, and Spain, among others.
Lithuania joined the EU in 2015 and is the most recent country to adopt the euro. Romania and Bulgaria are expected to join the EU in the near future.
Croatia’s adoption of the euro should bring the country into a stronger economic position. Boris Vujcic, governor of the Croatian National Bank, has stated that EU membership will “bring [Croatia] more security, lower risks, increase investment ratings, and raise living standards.”
What It Means for Payset Customers
Payset will stop supporting the Kuna (HRK) on Dec. 12, 2022.
If you are a Payset user and hold Kuna funds, you should withdraw, convert, or move that balance into a Payset euro account before that date. Otherwise, your kuna balance will be automatically converted to euros.
Payset will continue to support Croatian customers and other customers in the European Union throughout the Croatian currency transition. We offer support for more than 38 currency pairs, including the euro and other regional European currencies. Plus, we provide access to top European payment networks such as SEPA, CHAPS, and Faster Payments (FPS).
This wide variety of payment options makes our service an excellent choice for users transacting both within Europe and abroad, whether for business or personal uses.
To find out more or sign up, click here.
Frequently asked questions
What is a multi-currency account/virtual IBAN?
Are there limits on the amount of money I can send and receive?
How is Payset regulated?
How do I add money to my account?
How do I send money from my account?
Types of Multi-Currency Accounts
Information contained in this publication is provided for general education and information purposes only and should not be construed as legal, tax, investment or other professional advice or recommendation, or an offer of, or solicitation for, any transactions or any other actions (or refraining therefrom); This material has been prepared without taking into account any particular recipient’s financial objectives or situation. We make no warranty, guarantee or representation, whether express or implied, as to the completeness or accuracy of the information contained herein or fitness thereof for a particular purpose; Use of images and symbols is made for illustrative purposes only and does not constitute a recommendation or advice to take or refraining from any action; Use of brand logos does not necessarily imply a contractual relationship between us and the entities owning the logos, nor does it represent an endorsement of any such entity by Pay Set Limited, or vice versa; Market information is made available to you only as a service, and we do not endorse or approve it; Any reference to past performance, predicted returns, or likelihood performance scenarios may not reflect actual future performance and certainly do not guarantee future outcomes.
