The Maastricht Treaty was amended by the 2001 Treaty of Nice,21 which closed the gaps and loopholes in the Maastricht and Rome Treaties. Wise’s currency converter will show you how much your money is worth in other currencies at the real exchange rate. Spelling and CapitalizationThe official spelling of the EUR currency unit is “euro”, with a lower case “e”; however, the common industry practice is to spell it “Euro”, with a capital “E”. Many languages have different official spellings for the Euro, which also may or may not coincide with general use. Additionally, there are various nicknames for the currency including, Ege (Finnish), Pavo (Spanish), and Euráče (Slovak).
The central bank in Europe is called the European Central Bank (ECB). It is the second-most traded currency on the forex market, after the US Dollar, and also a major global reserve currency. Other common names for the Euro include Yoyo (Irish English), Leru (Spanish), and Ege (Finnish).
Eurozone crisis
In 2007 Slovenia became the first former communist country to adopt the euro. Having demonstrated fiscal stability since joining the EU in 2004, both Malta and the Greek Cypriot sector of Cyprus adopted the euro in 2008. Other countries that adopted the currency include Slovakia (2009), Estonia (2011), Latvia (2014), Lithuania (2015), and Croatia (2023). (The euro is also the official currency in several areas outside the EU, including Andorra, Montenegro, Kosovo, and San Marino.) The 20 participating EU countries are known as the euro area, euroland, or the euro zone. The euro was established by the provisions in the 1992 Maastricht Treaty.
Coins and banknotes
- The changeover period during which the former currencies’ notes and coins were exchanged for those of the euro lasted about two months, until 28 February 2002.
- The euro-to-dollar conversion details how many dollars the euro can buy at any given time, as measured by the current exchange rate.
- Value of Obsolete National CurrenciesEuro bank notes and coins began circulating in 2002 with old notes and coins gradually being withdrawn from circulation.
- Like the dollar, the euro is managed by one central bank, the European Central Bank (ECB).
- Having demonstrated fiscal stability since joining the EU in 2004, both Malta and the Greek Cypriot sector of Cyprus adopted the euro in 2008.
Compare our rate and fee with our competitors and see the difference for yourself. We keep an eye on and report on the use of the euro outside the euro area. The euro makes our lives simpler by enabling citizens to live, work and study abroad more easily. At the ECB, we safeguard the euro so that you can make the most of all that Europe has to offer. For local phonetics, cent, use of plural and amount formatting (€6,00 or 6.00 €), exchange rate euro to polish zloty see Language and the euro. In general, those in Europe who own large amounts of euro are served by high stability and low inflation.
Advantages and Disadvantages of the Euro
The 1992 Maastricht Treaty obliges most EU member states to adopt the euro upon meeting certain monetary and budgetary convergence criteria, although not all participating states have done so. Denmark has negotiated exemptions,20 while Sweden (which joined the EU in 1995, after the Maastricht Treaty was signed) turned down the euro in a 2003 non-binding referendum, and has circumvented the obligation to adopt the euro by not meeting the monetary and budgetary requirements. All nations that have joined the EU since 1993 have pledged to adopt the euro in due course.
What Is the Euro?
Some of these countries had the most serious sovereign financing problems. Its value grew as more people used it through the years, and it reached its record high of $1.60 on April 22, 2008. Investors fled from dollar-denominated investments during the near-bankruptcy of investment bank Bear Stearns. The European Central Bank provides the current exchange rate for the euro. The currency is also used officially by the institutions of the European Union, by four European microstates that convert singapore dollar to japanese yen are not EU members,7 the British Overseas Territory of Akrotiri and Dhekelia, as well as unilaterally by Montenegro and Kosovo.
Banks often advertise free or low-cost transfers, but add a hidden markup to the exchange rate. Wise gives you the real, mid-market, exchange rate, so you can make huge savings on your international money transfers. All EU countries except Denmark, which has an opt-out, are expected to join the monetary union and to introduce the euro as soon as they fulfil the convergence criteria. Whether you need to make cross-border payments or FX risk management solutions, we’ve got you covered. Schedule international transfers and manage foreign exchange risk across 130 currencies in 190+ countries. Our euro banknotes symbolise the integration, openness and cooperation between the people of Europe.
Britain and Sweden decided not to adopt the euro immediately, and voters in Denmark rejected it. The changeover period during which the former currencies’ notes and coins were exchanged for those of the euro lasted about two months, until 28 February 2002. The official date on which the national currencies ceased to be citi double cash credit card review legal tender varied from member state to member state.
The first phase of the euro launch occurred in 1999 when it was introduced as the currency for electronic payments. These included credit and debit cards, loans, and other uses for accounting purposes. During this initial phase, old currencies were used for cash only. Today, around 347 million citizens in 20 countries live in the euro area. This number will increase as future enlargements of the euro area continue to spread the benefits of the single currency more widely in the European Union.