Retailers prepare for euro transition
One of the biggest challenges for retailers ahead of the euro transition will be ensuring that they have enough cash, said a Bank of Lithuania representative at a meeting with retail owners earlier this month in Kaunas.
Antanas Ivanauskas, Director of the Cash Department of the Cash Service at the Bank of Lithuania, talked to representatives of the Alliance of Lithuanian Retail Trade Enterprises Aibė about what they should expect when Lithuania transitions to the euro next January, reports euro.lt.
The Bank of Lithuania predicts that the amount of cash in circulation will increase by 200-400 percent during the dual currency period anticipated from 1 to 5 January. People will be able to pay for goods and services both in euros and in litas, with retailers expected to give change in euros.
Ivanauskas told business owners to acquire enough low denomination euro banknotes (EUR 5, 10 and 20) and euro coins of all denominations in advance. To facilitate the acquisition process, the Bank of Lithuania will produce two types of euro coin bundles designated specifically to address the needs of these business, with an emphasis on small business. He recommended that business owners apply in advance to credit institutions and cash-in-transit companies to make sure they are supplied with euro currency in time.
Algimantas Sodeika, Chief Expert of the Currency Production Organisation and Examination Division of the Cash Service at the Bank of Lithuania, presented on euro security features.
Tomas Lavišius, Deputy Head of the Small and Medium Business Policy Division of the Small and Medium Business Department at the Ministry of Economy, talked about the dual pricing system in litas and euros that will be mandatory from the end of August of this year to the middle of next year.
Irena Gasiūnienė, Deputy Head of the Regional Taxpayers Division of the Tax Liabilities Department at the Kaunas County State Tax Inspectorate, at the meeting talked to business owners about tax payments and how to manage cash registers during the dual-currency period.
“Preparations for the euro adoption pose a number of practical questions to our businesses; we got the answers today to many of them. We will further seek to get all relevant information related to the euro adoption. This will be helpful for smooth work following the changeover,” said Aidas Kaubrys, Director of the Business Development Department of the Alliance of Retail Trade Enterprises Aibė.