Hungary should not contemplate adopting the Euro before 2030, according to central bank governor Gyorgy Matolcsy, as joining the single currency zone before its economy is fully ready would backfire.

The governor said that as soon as Hungary reaches around 90% of the European Union's average level in regard to economic development, then the adoption of the Euro could be placed on the agenda, Reuters news agency reports.

"It is dangerous to enter the club of the rich while the economy is unprepared for it," the central bank governor said on state radio.

"Perhaps around 2030 or a bit later we could reach ... 90% of the EU's average in terms of development, then it's worth entering (the eurozone) as the Euro has many advantages," Matolcsy stated.

However, until that time, the National Bank of Hungary's room for manoeuvre could be utilised to boost the economy, the governor went on to say.

As it stands, Hungary's central bank is grappling with the European Union's highest inflation rate, which in April was running at 24%, whilst the economy is experiencing a steep slowdown.

During May, the central bank slashed its one-day deposit rate by 100 basis points to 17%, implementing a policy-easing cycle as elevated interest rates have suppressed borrowing.

The country's finance minister, Mihaly Varga, said last week that Hungary was focusing on meeting the conditions of euro entry, but no date has been set to adopt the single currency, the Reuters report adds, and the issue was not currently on the agenda.

Hungary's EU neighbours, Austria, Croatia, Slovenia and Slovakia, have already adopted the single currency.

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