The euro & you

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Euro - Europe’s single currency

The euro is the currency of fifteen European Union countries, stretching from the Mediterranean to the Arctic Circle (namely Belgium, Germany, Greece, Spain, France, Ireland, Italy, Luxembourg, the Netherlands, Austria, Portugal, Slovenia, Finland, Malta and Cyprus).

Slovenia was the first of the recently acceded new Member States to adopt the euro as its currency (1 January 2007), followed by Malta and Cyprus (1 January 2008).

The other countries are Member States with a derogation (Bulgaria, Czech Republic, Estonia, Latvia, Lithuania, Hungary, Poland, Romania, Slovakia and Sweden) will join the euro area as soon as they fulfil the necessary conditions on the basis of the "Maastricht" convergence criteria following the established procedure. UK and Denmark have a special status allowing them to decide when (and if) they will join the euro area.

Adopting the euro

Euro banknotes and coins have been in circulation since 1 January 2002 and are now a part of daily life for 316.6 million Europeans living in the euro area.

The following information is designed to give a basic understanding of the euro and the practical implications of the introduction of the notes and coins. Should you require further information please also see the website of the European Commission at www.ec.europa.eu/euro  or the European Central Bank at www.euro.ecb.int 

Which countries have adopted the euro?

15 of the 27 European Union's member countries are participating in the common currency. They are: 

• Belgium

• Germany

• Greece

• Spain

• France

• Ireland

• Italy

• Luxembourg

• The Netherlands

• Austria

• Portugal

• Finland

• Slovenia (since 1st January 2007)

• Cyprus (since 1st January 2008)

• Malta (since 1st January 2008)

Over a period of just a few days, more than 14 billion euro banknotes and 50 billion euro coins replaced almost as many national currency banknotes and coins. Over 300 million people were affected by this change. Never before had such an operation been undertaken on this scale.

What is the symbol for the euro?

The Euro symbol - € - , developed by the European Commission, was inspired by the Greek letter epsilon and also denotes the first letter of the word "Europe". The two parallel lines refer to the stability inside the Euro area.

The official international abbreviation for the euro is EUR.

What are the advantages of the euro for citizens?

When travelling in the euro area

You only have to change money once; one currency is all you need now. For instance, when you visit a museum in Italy, you can pay the entrance fee using euro coins left over from your stay in Greece; you can buy a meal in France with euro banknotes you got from a cash dispenser in Spain; etc. All this will save both time and money.

When shopping in the euro area

Prices are displayed in the same currency; they are easier to compare and help you make the right choice.

When doing business with the euro area

There is no longer any risk of fluctuation between currencies. Interest and inflation rates are much lower. You buy, sell and borrow within a larger and more competitive market. Managing your business is easier and less expensive.

Advantages for Europe's international role

• Having a single currency and an economic and monetary union strengthens Europe’s role in international fora and organisations like the International Monetary Fund, World Bank, and Organisation for Economic Co-operation and Development.
   

• As a world currency, the euro is taking on an important role as an international investment and reserve currency.
   

• The euro has already become a major currency in which to borrow money: issues of international securities denominated in euro now rival dollar issues.
   

• Use of the euro in international trade is also expanding, reflecting Europe’s weight in the world economy.
   

• A single currency makes Europe a strong partner to trade with and facilitates access to a genuine single market for foreign companies, who will benefit from lower costs of doing business in Europe.
   

• The option of pricing goods and commodities in euro (such as oil and metals for example) will become more attractive over time.
   

• Advantages for investors, who have access to larger and more liquid financial markets.
   

Circulation

The euro circulates in the euro area, currently comprising 13 Member States of the European Union (Belgium, Germany, Greece, Spain, France, Ireland, Italy, Luxembourg, the Netherlands, Austria, Portugal, Finland and Slovenia).

Certain parts of the euro area are located outside the European continent, such as the four French overseas departments (Guadeloupe, French Guyana, Martinique and Réunion), as well as Madeira, the Canary Islands etc.

The euro also circulates outside the European Union:

• Third countries having adopted the euro as their national currency: Monaco, the Vatican City and San Marino

• Overseas territories where the euro is official currency: Saint-Pierre-et-Miquelon and Mayotte

• Countries and territories with euro as de facto currency: Andorra, Kosovo and Montenegro

Links with other currencies

Several countries and territories have linked their currencies to the euro through different types of agreements. Some of these agreements were concluded with the EU, while others are unilateral.

• Exchange Rate Mechanism II (ERM II): Denmark, Estonia, Cyprus, Latvia, Lithuania, Malta and Slovenia

• Bilateral exchange-rate agreements: CFP franc area, CFA franc area, Comoros Islands and Cape Verde

• Unilateral exchange rate regimes involving the euro: Bosnia, Botswana, Bulgaria, Croatia, Czech Republic, FYR Macedonia, Herzegovina, Hungary, Israel, Jordan, Lybia, Morocco, Romania, Russia, Serbia, Seychelles, Slovakia, Tunisia and Vanuatu

Related documents

• Survey on the use of the euro cash in the world

• Communication from the Commission. EMU after five years

Conversion rates

The conversion rate for the euro for each participating currency is irrevocably fixed and is the only rate to be used for conversion either way between the euro and the national currency unit or for conversion between the national currency units.

The euro conversion rates are:

		Belgian franc 40.3399		Deutsche Mark 1.95583
		Greek drachma 340.750		Spanish peseta 166.386
		French franc 6.55957		Irish pound 0.787564
		Italian lira 1936.27		Luxembourg franc 40.3399
		Dutch guilder 2.20371		Austrian schilling 13.7603
		Portuguese escudo 200.482		Finnish markka 5.94573
		Slovenian tolar 239.640		Maltese lira 0.429300
		Cyprus pound 0.585274

euro Coins - Common Side

The front of each coin has the same design for all 12 countries in the euro area.

The reverse side displays different designs for each country, created by their own national artists (see: http://www.euro.ecb.int/en/section/euro0/coins.html)

All coins can be used anywhere in the euro area.

EUR 2	Diameter (mm): 25.75 Thickness (mm): 2.20 Weight (g): 8.50 Shape: Round Colour: Outer part: white; inner part: yellow Composition: Outer part: copper-nickel; inner part: three layers: nickel brass, nickel, nickel brass Edge: Edge lettering, fine milled
EUR 1	Diameter (mm): 23.25 Thickness (mm): 2.33 Weight (g): 7.50 Shape: Round Colour: Outer part: yellow; inner part: white Composition: Outer part: nickel brass; inner part: three layers: copper-nickel, nickel, copper-nickel Edge: Interrupted milled
50 cent	Diameter (mm): 24.25 Thickness (mm): 2.38 Weight (g): 7.80 Shape: Round Colour: Yellow Composition: Nordic gold Edge: Shaped edge with fine scallops
20 cent	Diameter (mm): 22.25 Thickness (mm): 2.14 Weight (g): 5.74 Shape: Spanish flower shape Colour: Yellow Composition: Nordic gold Edge: Plain
10 cent	Diameter (mm): 19.75 Thickness (mm): 1.93 Weight (g): 4.10 Shape: Round Colour: Yellow Composition: Nordic gold Edge: Shaped edge with fine scallops
5 cent	Diameter (mm): 21.25 Thickness (mm): 1.67 Weight (g): 3.92 Shape: Round Colour: Red Composition: Copper-covered steel Edge: Smooth
2 cent	Diameter (mm): 18.75 Thickness (mm): 1.67 Weight (g): 3.06 Shape: Round Colour: Red Composition: Copper-covered steel Edge: Smooth with a groove
1 cent	Diameter (mm): 16.25 Thickness (mm): 1.67 Weight (g): 2.30 Shape: Round Colour: Red Composition: Copper covered steel Edge: Smooth

euro Banknotes

On 1 January 2002, seven banknotes were introduced in 12 Member States of the European Union.

On the front of the banknotes, windows and gateways symbolise the European spirit of openness and co-operation. The 12 stars of the European Union represent the dynamism and harmony between European nations.

To complement these designs, the reverse of each banknote features a bridge. The bridges symbolise the close co-operation and communication between Europe and the rest of the world.

These designs, and the following features are presented in more detail below:

• The name of the currency – euro – in both the Latin (EURO) and the Greek (EYPO) alphabets;

• The initials of the European Central Bank in eight linguistic variants – ECB, BCE, BĊE, EBC, EKB, EKP, EZB, EKT – covering the 20 official languages of the European Community;

• The symbol © indicating copyright protection; and

• The flag of the European Union.

Recognizing the euro
Security Features

Banknotes

Various security features have been incorporated into the euro banknotes. They will help you to recognise a genuine banknote at a glance. (More: http://www.euro.ecb.int/en/section/recog.html)

	Feel the “raised” print – the special printing processes give banknotes their unique feel.
	Look at the banknote and hold it up to the light: the watermark, the security thread and the see-through register will then be visible. All three features can be seen from the front and the reverse side of genuine banknotes.
	Tilt the banknote: on the front of the banknote, you can see the shifting image on the hologram foil stripe (on the low-value banknotes) or the hologram foil patch (on the high-value banknotes).
	Tilt the banknote: on the reverse side, if you tilt the banknote, you can see the brilliance of the iridescent stripe (on the low-value banknotes) or the colour-shifting ink (on the high-value banknotes).

Coins

The euro coins also were produced according to advanced technical
specifications that make reproduction extremely difficult and easy to detect.

Particular care has been taken to include unique security features on the EUR1 and EUR2 coins.

The EUR1 and EUR2 coins are produced using sophisticated bi-metal technology, which makes them difficult to counterfeit. You will find lettering around the edge of the EUR2 coin. The euro coins incorporate the safest machine-readable characteristics and will be used in vending machines throughout the euro area, irrespective of the Member State which issued them.