Happy new year everyone. For Croatia, it is goodbye to the Kuna and hello Euro. Go back a decade and those hostile to the EU and the Euro were predicting the collapse of the Euro because of the Greek crisis. A decade on and the Euro has grown to be a currency in even wider use. No collapse to make the sceptics smile. The pound however has not fared well. We may not be at the historically low level of September when the markets responded to the mad, unfunded tax cuts of the short lived Truss government, but we came close to the event horizon that could have sucked the pound and the economy into a black hole. Back in 2015 when I last visited the USA, the pound bought $1.50. It is now worth $1.20. We are within a zone which could see parity between the pound and dollar. This is hardly an endorsement of British exceptionalism. If the government can't fix the economy, there is a serious danger the pound will be worth less than the dollar. And that will not be good news for the UK.
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