The European Commission took Cyprus off the excessive deficit procedure watch-list last week.
"We feel Cyprus is in a position to meet its strategic goal of joining ERM-2. We have established contact with the Commission - obviously it is a two way street - but I believe ERM-2 admission will be in the first months of 2005...end of March or beginning of April," Keravnos said late on Thursday.
Countries wanting to adopt the euro are expected to keep their currencies in the ERM-2 grid for at least two years.
ERM-2 would require Cyprus to anchor the pound at an agreed parity rate against the euro in a stabilisation band designed to protect currencies from pressure with the firepower of the European Central Bank.
Asked at what rate he envisaged the Cyprus pound entering the mechanism, Keravnos said: "I think the rate will be at the same levels as today, I do not see any reason why it should not."
At present the central reference rate is one Cyprus pound to 1.7086 euros, and the pound fluctuates in an unofficial band of 15 percent, but is routinely kept within a 2.25 percent range.
Cyprus became a member of the European Union on May 1, but saw its bid for swift accession to ERM-2 troubled by wide budget deficits and high debt levels, which now exceed guidelines for the euro zone. Of the 10 countries which joined the EU in May, three - Estonia, Lithuania and Slovenia - have already entered ERM2.
Analysts and markets are speculating that Cyprus could join ERM2 with Latvia, another newcomer.
Keravnos said he planned to visit Riga in February or March after an invitation from his Latvian counterpart to discuss the issue.