Which EU countries don't use the Euro?
Eurozone
Nine countries (Bulgaria, Croatia, Czech Republic, Denmark, Hungary, Poland, Romania, Sweden, and the United Kingdom) are EU members but do not use the euro. Before joining the eurozone, a state must spend two years in the European Exchange Rate Mechanism (ERM II). As of January 2017, only the National Central Bank (NCB) of Denmark participates in ERM II.
European Monetary System
The European Monetary System was no longer a functional arrangement in May 1998 as the member countries fixed their mutual exchange rates when participating in the euro. Its successor however, the ERM-II, was launched on 1 January 1999. In ERM-II the ECU basket was discarded and the new single currency euro has become an anchor for the other currencies participating in the ERM-II. Participation in the ERM-II is voluntary and the fluctuation bands remain the same as in the original ERM, i.e. +15 percent, once again with the possibility of individually setting a narrower band with respect to the euro. Denmark and Greece became new members.
Enlargement of the eurozone
The eurozone was born with its first 11 Member States on 1 January 1999. The first enlargement of the eurozone, to Greece, took place on 1 January 2001, one year before the euro had physically entered into circulation. Along with the formal eurozone states, the euro also replaced currencies in four microstates, Kosovo and Montenegro who all used the currencies of one of the member countries. Denmark and Sweden held referendums on joining the euro, but both referendums were lost leading both to remain outside. The first enlargements after the euro entered circulation were to states which joined the EU in 2004; namely Slovenia in 2007, followed by seven others up to 2015.
The chart below provides a full historical summary of exchange-rate regimes for EU members since the European Monetary System with its Exchange Rate Mechanism and the related new common currency ECU was born on 13 March 1979. The euro replaced the ECU 1:1 at the exchange rate markets, on 1 January 1999. During 1979–1999, the German mark functioned as a de facto anchor for the ECU, meaning there was only a minor difference between pegging a currency against ECU and pegging it against the German mark. 
All members who joined the union from 1995 onwards are required by treaty to adopt the euro as soon as they meet the criteria; only Denmark and the United Kingdom obtained treaty opt-outs from participation in the Maastricht Treaty when the euro was agreed upon. For the others, the single currency was a requirement of EU membership.
Euro
The coins are issued in denominations of €2, €1, 50c, 20c, 10c, 5c, 2c, and 1c. To avoid the use of the two smallest coins, some cash transactions are rounded to the nearest five cents in the Netherlands and Ireland (by voluntary agreement) and in Finland (by law). This practice is discouraged by the Commission, as is the practice of certain shops of refusing to accept high-value euro notes.
European Union
19 member states have joined a monetary union known as the eurozone, which uses the Euro as a single currency. The currency union represents 342 million EU citizens. The euro is the second largest reserve currency as well as the second most traded currency in the world after the United States dollar.
Single Euro Payments Area
SEPA does not cover payments in currencies other than the euro. This means that domestic payments in SEPA countries not using the euro will continue to use local schemes, but cross border payments will use SEPA and euro against eurozone countries.
Andorra and the euro
Andorra did not have an official currency before adopting the euro, and unlike its two larger neighbours, France and Spain, which surround it, it is not a member of the EU. However it "de facto" used the EU's euro (the currency of the Eurozone states) as it had historically used the French franc and Spanish peseta. When those two currencies were replaced by the euro in 2002, the euro replaced the franc and peseta as the sole circulating currency in Andorra.
10 euro note
The ten euro note (€10) is the second-lowest value euro banknote and has been used since the introduction of the euro (in its cash form) in 2002. 
The note is used in the 23 countries which have it as their sole currency (with 22 legally adopting it); with a population of about 343 million. In August 2018, there were approximately 2,500,000,000 ten euro banknotes in circulation around the eurozone. It is the fourth most widely circulated denomination, accounting for over 11% of the total banknotes. Estimates suggest that the average life of a ten euro banknote is about 1.5 years before it is replaced due to wear.
United Kingdom and the euro
The United Kingdom has never sought to adopt the euro as its official currency for the duration of its membership of the European Union (EU), and secured an opt-out at the euro's creation via the Maastricht Treaty in 1992. Polls have shown that the majority of British people have been against adopting the euro, and in a June 2016 referendum the UK voted to withdraw from the EU which would virtually eliminate the chance of any future adoption. Despite never being a member of the eurozone, the currency is used in the UK's Cypriot territories and as a secondary currency in Gibraltar; furthermore, London is home to the majority of the euro's clearing houses.
Single Euro Payments Area
SEPA consists of 36 countries:All parts of a country are normally part of SEPA. However, the following countries have special territories which are not part of SEPA:Jurisdictions using the euro that are not in SEPA: Akrotiri and Dhekelia, Kosovo, and Montenegro.
Euro
The euro is the sole currency of 19 EU member states: Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Portugal, Slovakia, Slovenia, and Spain. These countries constitute the "eurozone", some 343 million people in total .
Continental union
The EU has developed a single market through a standardised system of laws which apply in all member states, ensuring the free movement of people, goods, services, and capital. It maintains common policies on trade, agriculture, fisheries and regional development. Nineteen member states have adopted a common currency, the euro, constituting the Eurozone. The EU has developed a limited role in foreign policy, having representation at the WTO, G8, G20 and at the UN. It enacts legislation in justice and home affairs, including the abolition of passport controls by an agreement between the member states which form the Schengen Area.
International status and usage of the euro
With the adoption of the euro by Cyprus per 1 January 2008, the Sovereign Base Areas of Akrotiri and Dhekelia, which had previously used the Cypriot pound, also decided to adopt the euro. The base areas are an overseas territory of the United Kingdom, an EU member state which itself does not use the euro, but these bases are outside of the EU and under military jurisdiction. Their laws and currency have been aligned with those of the Republic of Cyprus, leading to the euro's adoption in the two areas.
Currencies of the European Union
There are eleven currencies of the European Union used officially by member states. The euro accounts for the majority of the member states with the remainder operating independent monetary policies. Those European Union states that have adopted it are known as the eurozone and share the European Central Bank (ECB). The ECB and the national central banks of all EU countries, including those who operate an independent currency, are part of the European System of Central Banks.
European integration
The original members were Austria, Belgium, Finland, France, Germany, Ireland, Italy, Luxembourg, the Netherlands, Portugal, and Spain. Greece adopted the euro on 1 January 2001. Slovenia joined on 1 January 2007, Cyprus and Malta were admitted on 1 January 2008, Slovakia joined on 1 January 2009, Estonia on 1 January 2011, Latvia on 1 January 2014 and Lithuania on 1 January 2015.
History of the European Union (1993–2004)
2000 saw the Commission recommending Greece joining the eurozone, which it did at the start of 2001. However, both Denmark and Sweden rejected the currency in referendums held on 28 September 2000 and 14 September 2003, respectively. On 1 January 2002, the physical euro currency came into circulation in the 12 eurozone states, and became the sole legal currency of 12 eurozone states (Greece included) on 28 February.
Economy of Europe
The economy of Europe comprises more than 740 million people in 50 different countries. Formation of the European Union (EU) and in 1999, the introduction of a unified currency – the euro brings european countries closer together. The difference in wealth across Europe can be seen roughly in former Cold War divide, with some countries breaching the divide (Greece, Poland, Romania, Slovenia and the Czech Republic). Whilst most European states have a GDP per capita higher than the world's average and are very highly developed (Liechtenstein, Luxembourg, Monaco, Andorra, Norway, Sweden, the Netherlands, Switzerland, United Kingdom), some European economies, despite their position over the world's average in the Human Development Index, are poorer.
European Exchange Rate Mechanism
EU countries that have not adopted the euro are expected to participate for at least two years in ERM II before joining the eurozone.
International status and usage of the euro
Some tourist-oriented shops in the United Kingdom accept the euro. In Northern Ireland, as a border area, the euro is accepted in many shops. Also, a large number of petrol stations and motorway service areas in European countries outside the eurozone accept euros, and Bosnia and Herzegovina, Croatia, Poland and Serbia allow payment of highway tolls in euros.
Europe
By the millennium change, the EU dominated the economy of Europe comprising the five largest European economies of the time namely Germany, the United Kingdom, France, Italy, and Spain. In 1999, 12 of the 15 members of the EU joined the Eurozone replacing their former national currencies by the common euro. The three who chose to remain outside the Eurozone were: the United Kingdom, Denmark, and Sweden. The European Union is now the largest economy in the world.
Economic and Monetary Union of the European Union
Nineteen EU member states, including most recently Lithuania, have entered the third stage and have adopted the euro as their currency. All new EU member states must commit to participate in the third stage in their treaties of accession. Only Denmark and the United Kingdom, whose EU membership predates the introduction of the euro, have legal opt outs from the EU Treaties granting them an exemption from this obligation. The remaining seven non-euro member states are obliged to enter the third stage once they comply with all convergence criteria.
Single Euro Payments Area
SEPA guarantees that euro payments are received within a guaranteed time, and banks are not allowed to make any deductions of the amount transferred, introduced by a regulation in year 2001. Banks and payment institutions still have the option of charging a credit-transfer fee of their choice for euro transfers if it is charged uniformly to all EEA participants, banks or payment institutions, domestic or foreign. This is relevant for countries which do not use the euro; domestic transfers in euro by consumers are uncommon, and inflated fees might be charged. Sweden and Denmark have legislated that euro transfers shall be charged the same as transfers in their own currency; which has the effect of giving free euro ATM withdrawals, but charges for ATM withdrawals in other currencies used in the EU.
Enlargement of the eurozone
The European microstates of Monaco, San Marino and the Vatican City, which had a monetary agreement with a eurozone state when the euro was introduced, were granted a special permission to continue these agreements and to issue separate euro coins, but they don't get any input or observer status in the economic affairs of the eurozone. Andorra, which had used the euro unilaterally since the inception of the currency, negotiated a similar agreement which granted them the right to officially use the euro as of 1 April 2012 and to issue euro coins.
5 euro cent coin
In addition, there are several EU states that have not yet adopted the euro. Some of them have already agreed upon their coin designs; however, it is not known if or when they will adopt the currency, and hence these are not yet minted. See enlargement of the Eurozone for expected entry dates of these countries.
Eurozone
In September 2011, a diplomatic source close to the euro adoption preparation talks with the seven remaining new member states who had yet to adopt the euro (Bulgaria, Czech Republic, Hungary, Latvia, Lithuania, Poland and Romania), claimed that the monetary union (eurozone) they had thought they were going to join upon their signing of the accession treaty may very well end up being a very different union entailing much closer fiscal, economic and political convergence. This changed legal status of the eurozone could potentially cause them to conclude that the conditions for their promise to join were no longer valid, which "could force them to stage new referendums" on euro adoption.
European Currency Unit
The European Currency Unit (₠ or ECU) was a basket of the currencies of the European Community member states, used as the unit of account of the European Community before being replaced by the euro on 1 January 1999, at parity. The ECU itself replaced the European Unit of Account, also at parity, on 13 March 1979. The European Exchange Rate Mechanism attempted to minimize fluctuations between member state currencies and the ECU. The ECU was also used in some international financial transactions, where its advantage was that securities denominated in ECUs provided investors with the opportunity for foreign diversification without reliance on the currency of a single country.
Enlargement of the eurozone
Since the convergence criteria require participation in the ERM, and non-eurozone states are responsible for deciding when to join ERM, they can ultimately control when they adopt the euro by staying outside the ERM and thus deliberately failing to meet the convergence criteria until they wish to. In some non-eurozone states without an opt-out, there has been discussion about holding referendums on approving their euro adoption. Of the 16 states which have acceded to EU since 1992, the only state to have staged a euro referendum to date is Sweden, which in 2003 rejected its government's proposal to adopt the euro in 2006.
Eurosphere
Other countries that could be said to be within the Eurosphere might include European countries belonging to the European Economic Area such as Iceland or Liechtenstein, states using the euro as their currency such as San Marino and Monaco, or the Union's overseas territories such as Aruba, Bermuda, or Greenland as well as the EU's outermost regions in the Caribbean, South Pacific, Atlantic, Indian and Southern Oceans such as Saint Martin, Martinique, or La Réunion. The above-mentioned groups all have strong economic and political links with the EU today.
International status and usage of the euro
A similar agreement was negotiated with Andorra and came into force on 1 April 2012. Andorra did not previously have an official currency. Prior to 2002, it used both the French franc and Spanish peseta as "de facto" legal tender currencies, though they never had an official monetary arrangement with either country, and switched to the euro (without any monetary agreement) when it was introduced on 1 January 2002. After years of negotiations, partially over concerns with banking secrecy, the EU and Andorra signed a monetary agreement on 30 June 2011 which made the euro the official currency in Andorra and allowed them to mint their own euro coins as early as 1 July 2013, provided they comply with the agreement's terms. However, the first Andorran euro coins did not enter into circulation until January 2015.
Eurozone
Kosovo and Montenegro officially adopted the euro as their sole currency without an agreement and, therefore, have no issuing rights. These states are not considered part of the eurozone by the ECB. However, sometimes the term "eurozone" is applied to all territories that have adopted the euro as their sole currency. Further unilateral adoption of the euro (euroisation), by both non-euro EU and non-EU members, is opposed by the ECB and EU.
History of the euro
The euro came into existence on 1 January 1999, although it had been a goal of the European Union (EU) and its predecessors since the 1960s. After tough negotiations, particularly due to opposition from the United Kingdom, the Maastricht Treaty entered into force in 1993 with the goal of creating an economic and monetary union by 1999 for all EU states except the UK and Denmark (even though Denmark has a fixed exchange rate policy with the euro).
Hans Tietmeyer
During Tietmeyer's tenure as president of the Bundesbank, the Euro was introduced as the currency for most of the EU. Eight months before his retirement, he oversaw the bank's transition to the European System of Central Banks in the course of the creation of Europe's economic and monetary union in January 1999. At the time Tietmeyer forecast that the common currency would lead to painful internal economic adjustments for member states with trade deficits cumulating into debt. Commentator David Marsh in late 2012 drew attention to that forecast as he highlighted "the significant internal devaluations of their currencies though a sharp fall in unit labor costs" which Ireland, Spain, Portugal, Italy and Greece, for example, have suffered in the European sovereign-debt crisis of 2008 onward. This effect of the Euro is similar to the impact of "the classical gold standard", wrote Marsh in describing the phenomenon.
History of the euro
In 2010 Estonia gained the support of the European Commission, Central Bank and Parliament for accession on 1 January 2011 with Estonia adopting the currency on that date. In 2013 Latvia gained the support of the European Commission, Central Bank and Parliament for accession on 1 January 2014 with Latvia adopting the currency on that date. On 23 July 2014 Lithuania became the last Baltic state to gain permission to join the euro, which was adopted on 1 January 2015.
History of the euro
The eurozone was born with its first 11 Member States on 1 January 1999. The first enlargement of the eurozone, to Greece, took place on 1 January 2001, one year before the euro had physically entered into circulation. The next enlargements were to states which joined the EU in 2004, and then joined the eurozone on 1 January in the mentioned year: Slovenia (2007), Cyprus (2008), Malta (2008), Slovakia (2009), Estonia (2011), Latvia (2014), and Lithuania (2015).
Eurozone
The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Portugal, Slovakia, Slovenia, and Spain. Other EU states (except for Denmark and the United Kingdom) are obliged to join once they meet the criteria to do so. No state has left, and there are no provisions to do so or to be expelled. Andorra, Monaco, San Marino, and Vatican City have formal agreements with the EU to use the euro as their official currency and issue their own coins. Kosovo and Montenegro have adopted the euro unilaterally, but these countries do not officially form part of the eurozone and do not have representation in the European Central Bank (ECB) or in the Eurogroup.
Fiscal union
It is often proposed that the European Union should adopt a form of fiscal union. Most member states of the EU participate in economic and monetary union (EMU), based on the euro currency, but most decisions about taxes and spending remain at the national level. Therefore, although the European Union has a monetary union, it does not have a fiscal union.
European Exchange Rate Mechanism
As of 2016, only the Danish krone participates in ERM II. The currencies of Sweden (the Swedish krona), the three largest countries which joined the European Union on 1 May 2004 (the Polish złoty, the Czech koruna, and the Hungarian forint), the two countries which joined on 1 January 2007 (the Bulgarian lev, and the Romanian leu) as well Croatia, which joined the EU on 1 July 2013 (the Croatian kuna), are required to join in accordance with the terms of the applicable treaties of accession.
1 euro coin
One-euro coins have been produced every year in Belgium, Finland, France, the Netherlands and Spain. In Austria, Germany, Greece, Ireland, Luxemburg, Portugal, San Marino and the Vatican City no €1 coins were minted dated 1999, 2000 and 2001. In Monaco, no €1 coins were minted in 1999, 2000, 2005, 2008 and 2010. Malta did not issue €1 coins in 2009. Slovenia and Slovakia have produced coins every year since their respective entries to the eurozone.
Danish krone
Denmark has not introduced the euro, following a rejection by referendum in 2000, but the Danish krone is pegged closely to the euro in ERM II, the EU's exchange rate mechanism. Denmark borders one eurozone member, Germany, and one EU member, Sweden, which is legally obliged to join the euro in the future (though Sweden maintains that joining ERM II is voluntary, thus avoiding euro adoption for the time being).
United Kingdom and the euro
The wording of the question may have varied, but the figures showed that a majority of British people have been consistently against adopting the euro. 
If the UK had joined the eurozone, this would also have affected the Crown dependencies and some British overseas territories that also use the pound sterling, or which have a currency on a par with sterling. In the Crown Dependencies, the Isle of Man, Jersey, Guernsey, and Alderney, pounds all share the ISO 4217 code GBP. In the British Overseas Territories, the Gibraltar, Falkland Islands, British Indian Ocean Territory and Saint Helena, pounds are also fixed so that £1 in the local currency equals £1 in sterling. The British Antarctic Territory and South Georgia and the South Sandwich Islands do not have their own currencies and use the pound sterling.
International status and usage of the euro
The exact situation varies from country to country; for example, those with dollar pegs have greater dollar reserves and those with euro pegs have greater euro reserves. In 2009, Russia's foreign reserves in euro exceed dollar reserves for the first time; Russia held 47.5% (up from 42% in 2008) in euro and 41.5% (down from 47%) in dollar leading the Central Bank of Russia to announce the euro had become the reserve currency of Russia. The usage of the euro is particularly strong in eastern Europe, not surprisingly in those that have joined the EU, with 54.8% of all loans in Bulgaria, and 85.2% in Latvia before Eurozone accession, being issued in euro rather than the local currencies.
The following table shows central banks allocated reserves in euros and US dollar.
A currency is attractive for international transactions when it demonstrates stability, a well-developed financial market to trade the currency, and acceptability to others. While the euro has made substantial progress, a few challenges undermine the ascension of the euro as a major reserve currency. Persistent excessive budget deficits of some member nations, economically weak new members, conservatism of financial markets, and inertia or path dependence are important factors keeping the euro as a junior international currency to the US dollar. However, at the same time, the USD has increasingly suffered from a double deficit and has its own concerns.
Denmark and the euro
The Maastricht Treaty of 1992 required that EU member states join the euro. However, the treaty gave Denmark the right to opt-out from participation, which they subsequently did following a referendum on 2 June 1992 in which Danes rejected the treaty. Later that year Denmark negotiated the Edinburgh Agreement, under which Denmark was granted further opt-outs, which led to the Maastricht Treaty being accepted in a referendum on 18 May 1993. As the result, Denmark is not required to join the eurozone. Denmark did however participate in Stage 2 of EMU, which was considered the preparatory phase for the introduction of the euro. As a part of this process, the National Bank of Denmark participated in various aspects of the planning of the euro as it was still considered to be very important for future Danish economic policy. According to a history published by the central bank, "Firstly, it was important to create a solid framework for price stability in the euro area, making it an appropriate anchor for the Danish fixed-exchange-rate policy. Secondly, Denmark had an interest in developing an expedient framework for exchange rate cooperation between the euro area and the non-euro area member states. Thirdly, Denmark had a general interest in the formulation of the ground rules for Stage 3 of EMU to ensure that Denmark would be able to adopt the single currency at a later stage on the same terms as those applying to the initial euro area member states."
Eurozone
The euro is also used in countries outside the EU. Four states – Andorra, Monaco, San Marino, and Vatican City — have signed formal agreements with the EU to use the euro and issue their own coins. Nevertheless, they are not considered part of the eurozone by the ECB and do not have a seat in the ECB or Euro Group.
Monaco
Monaco is not formally a part of the European Union (EU), but it participates in certain EU policies, including customs and border controls. Through its relationship with France, Monaco uses the euro as its sole currency (prior to this it used the Monégasque franc). Monaco joined the Council of Europe in 2004. It is a member of the Organisation Internationale de la Francophonie (OIF).
Euro
The euro is the second-most widely held reserve currency after the U.S. dollar. After its introduction on 4 January 1999 its exchange rate against the other major currencies fell reaching its lowest exchange rates in 2000 (3 May vs Pound sterling, 25 October vs the U.S. dollar, 26 October vs Japanese yen). Afterwards it regained and its exchange rate reached its historical highest point in 2008 (15 July vs U.S. dollar, 23 July vs Japanese yen, 29 December vs Pound sterling). With the advent of the global financial crisis the euro initially fell, to regain later. Despite pressure due to the European sovereign-debt crisis the euro remained stable. In November 2011 the euro's exchange rate index – measured against currencies of the bloc's major trading partners – was trading almost two percent higher on the year, approximately at the same level as it was before the crisis kicked off in 2007.The formal titles of the currency are "euro" for the major unit and "cent" for the minor (one-hundredth) unit and for official use in most eurozone languages; according to the ECB, all languages should use the same spelling for the nominative singular. This may contradict normal rules for word formation in some languages, e.g., those in which there is no "eu" diphthong. Bulgaria has negotiated an exception; "euro" in the Bulgarian Cyrillic alphabet is spelled as eвро ("evro") and not eуро ("euro") in all official documents. In the Greek script the term ευρώ (evró) is used; the Greek "cent" coins are denominated in λεπτό/ά (leptó/á). Official practice for English-language EU legislation is to use the words euro and cent as both singular and plural, although the European Commission's Directorate-General for Translation states that the plural forms "euros" and "cents" should be used in English.
European Single Market
The final stage of completely free movement of capital was thought to require a single currency and monetary policy, eliminating the transaction costs and fluctuations of currency exchange. Following a Report of the Delors Commission in 1988, the Treaty of Maastricht made economic and monetary union an objective, first by completing the internal market, second by creating a European System of Central Banks to co-ordinate common monetary policy, and third by locking exchange rates and introducing a single currency, the euro. Today, 19 member states have adopted the euro, while 9 member states have either determined to opt-out or their accession has been delayed, particularly since the Eurozone crisis. According to TFEU articles 119 and 127, the objective of the European Central Bank and other central banks ought to be price stability. This has been criticised for apparently being superior to the objective of full employment in the Treaty on European Union article 3.
Timeline of the Great Recession
Taken as a whole the Eurozone officially slips under, pushed down by recessions in Germany and Italy for its first recession since its creation in 1999.
These 15 countries are: Austria, Belgium, Cyprus, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, Malta, Netherlands, Portugal, Slovenia, Spain. On January 1, 2009, Slovakia adopted the euro, and so is now part of the Eurozone. Though the Eurozone suffers from recession as a whole, Belgium, France, Greece, and Slovakia still have better growth.
Faroe Islands and the European Union
The Faroe Islands utilize a special version of the Danish krone notes that have been printed with text in the Faroese language. It is not a separate currency, but can be exchanged 1:1 with the Danish version. Monetary policy is controlled by the Danish Central Bank. If Denmark does adopt the euro, separate referendums would be required in the Faroe Islands and Greenland to decide whether they should follow suit. Both territories have voted not to be a part of the EU in the past, and their populations will not participate in the Danish euro referendum. On 5 November 2009 the Faroese Parliament approved a proposal to investigate the possibility for euro adoption, including an evaluation of the legal and economic impact of adopting the euro ahead of Denmark.
Enlargement of the eurozone
The Danish krone is currently used by both of its dependent territories, Greenland and Faroe Islands, with their monetary policy controlled by the Danish Central Bank. If Denmark does adopt the euro, separate referendums would be required in both territories to decide whether they should follow suit. Both territories have voted not to be a part of the EU in the past, and their populations will not participate in the Danish euro referendum. The Faroe Islands use a special version of the Danish krone notes that have been printed with text in the Faroese language. It is regarded as a foreign currency, but can be exchanged 1:1 with the Danish version. On 5 November 2009 the Faroese Parliament approved a proposal to investigate the possibility for euro adoption, including an evaluation of the legal and economic impact of adopting the euro ahead of Denmark.
Euro convergence criteria
Full EMU membership is only open to EU member states. However, the European microstates of Andorra, Monaco, San Marino and the Vatican City, which due to their small size are not members of the EU, have signed monetary agreements with EU which allow them officially to adopt the euro and issue their own variant of euro coins. These states had all previously used one of the eurozone currencies replaced by the euro, or a currency pegged to one of them. These states are not members of the eurozone and do not get a seat in the European Central Bank (ECB) or the Eurogroup.
European integration
Thus, six non-EU countries have adopted the euro (four through an agreement with the EU and two unilaterally), four non-EU states have joined the Schengen agreement officially, and other countries have joined common military corps.
TARGET2
TARGET2 services in euro are available to non-Eurozone states. National central banks of states which have not yet adopted the euro can also participate in TARGET2 to facilitate the settlement of transactions in euro. Central banks from four non-Eurozone states Bulgaria, Denmark, Poland and Romania also participate in TARGET2.
Identifying marks on euro coins
As per a recommendation defined by the Economic and Financial Affairs Council of the European Union, the national designs of each member's euro coin should contain a national identification in the form of spelling or abbreviation of the country's name. Of the fifteen members of the Eurozone at the time these recommendations were made, five national designs—those of Austria, Belgium, Finland, Germany and Greece—did not meet the criteria outlined. Of these five, two (Finland in 2007 and Belgium in 2008) have changed or amended their design to follow these recommendations, and the other three are expected to follow suit in the coming years.
Central Europe
Currently, the members of the Eurozone include Austria, Germany, Luxembourg, Slovakia, and Slovenia. Croatia, the Czech Republic, Hungary and Poland use their currencies (Croatian kuna, Czech koruna, Hungarian forint, Polish złoty), but are obliged to adopt the Euro. Switzerland uses its own currency, Swiss franc.
Euro
With all but two of the remaining EU members obliged to join, together with future members of the EU, the enlargement of the eurozone is set to continue. Outside the EU, the euro is also the sole currency of Montenegro and Kosovo and several European microstates (Andorra, Monaco, San Marino and the Vatican City) as well as in five overseas territories of EU members that are not themselves part of the EU (Saint Barthélemy, Saint Martin, Saint Pierre and Miquelon, the French Southern and Antarctic Lands and Akrotiri and Dhekelia). Together this direct usage of the euro outside the EU affects nearly 3 million people.
Euro
With the exception of Bosnia, Bulgaria, Macedonia (which had pegged their currencies against the Deutsche Mark) and Cape Verde (formerly pegged to the Portuguese escudo), all of these non-EU countries had a currency peg to the French Franc before pegging their currencies to the euro. Pegging a country's currency to a major currency is regarded as a safety measure, especially for currencies of areas with weak economies, as the euro is seen as a stable currency, prevents runaway inflation and encourages foreign investment due to its stability.
European Exchange Rate Mechanism
After the adoption of the euro, policy changed to linking currencies of EU countries outside the eurozone to the euro (having the common currency as a central point). The goal was to improve the stability of those currencies, as well as to gain an evaluation mechanism for potential eurozone members. This mechanism is known as ERM II and has superseded ERM. Currently there is just one currency in the ERM II, the Danish krone.
Northern Cyprus and the European Union
Northern Cyprus is legally part of the EU, but law is suspended due to north being under the control of the Turkish Republic of Northern Cyprus, which the EU does not recognise. The North uses the Turkish lira instead of the euro, although the euro circulates alongside the lira and other currencies. On the resolution of the Cyprus dispute and the reunification of the island, the euro would become the official currency of the north also. Adoption by the North would be the first time the euro has replaced use of another currency that hasn't ceased to exist after euro adoption. Euro adoption would help to address inflation in the North by bringing in price stability. Cypriot euro coins already bear the name of Cyprus in both Greek and Turkish, displaying representations of natural and ancient Cypriot history.
Economic history of Europe
The Euro became the official currency of certain European Union members on January 1, 2001. The currency was signed into effect in 1992 in the Treaty of Maastricht. The initial idea behind the Euro was that it eliminates exchange rates between European nations and makes currency fluctuation risks minimal.
Euro banknotes
In the first and Europa series, the Azores, French Guiana, Guadeloupe, Madeira, Martinique, Réunion, and the Canary Islands, overseas territories of the eurozone member states, which also use the euro, are shown under the map in separate boxes. Cyprus and Malta were not shown on the first series because they were not in the EU in 2002, when the banknotes were issued, even though they joined the Eurozone in 2008. The map did not stretch as far east as Cyprus, while Malta was too small to be depicted.. However, both Cyprus and Malta are depicted on the Europa series note.
European Central Bank
The European Central Bank (ECB) is the central bank for the euro and administers monetary policy of the Eurozone, which consists of 19 EU member states and is one of the largest currency areas in the world. It is one of the world's most important central banks and is one of the seven institutions of the European Union (EU) listed in the Treaty on European Union (TEU). The capital stock of the bank is owned by the central banks of all 28 EU member states. The Treaty of Amsterdam established the bank in 1998, and it is headquartered in Frankfurt, Germany. the President of the ECB is Mario Draghi, former governor of the Bank of Italy, former member of the World Bank, and former managing director of the Goldman Sachs international division (2002–2005). The bank primarily occupied the Eurotower prior to, and during, the construction of the new headquarters.
Economy of Europe
Some countries while maintaining their own national currency have pegged its value to the euro. In some of these countries, there is a fixed exchange rate between the national currency and the euro and in this case the currency is actually a submultiple of the euro. In other countries, the national currency's value fluctuates within a band (generally 15%) around a set rate. Currencies pegged to the euro include the currencies of Bulgaria, Bosnia and Herzegovina and Cape Verde. Denmark has a foreign exchange band tied to the euro.
International status and usage of the euro
The first OCTs to adopt the euro through a monetary agreement were the French overseas territories of Saint-Pierre-et-Miquelon, located off the coast of Canada, and Mayotte in the Indian Ocean. They both adopted the euro on 1 January 1999 when the currency was first introduced at the electronic level. Mayotte subsequently held a referendum in 2009 in which it decided to become an integral part of France. Its status was changed from an OCT to an OMR, where EU laws apply without separate agreements, on 1 January 2014, which rendered the previous monetary agreement unnecessary.
Euro coins
There are eight euro coin denominations, ranging from one cent to two euros (the euro is divided into a hundred cents). The coins first came into use in 2002. They have a common reverse, portraying a map of Europe, but each country in the eurozone has its own design on the obverse, which means that each coin has a variety of different designs in circulation at once. Four European microstates which use the euro as their currency also have the right to mint coins with their own designs on the obverse side.
History of the euro
On 17 June 1997 the European Council decided in Amsterdam to adopt the Stability and Growth Pact, designed to ensure budgetary discipline after creation of the euro, and a new exchange rate mechanism (ERM II) was set up to provide stability above the euro and the national currencies of countries that hadn't yet entered the eurozone. Then, on 3 May 1998, at the European Council in Brussels, the 11 initial countries that would participate in the third stage from 1 January 1999 were selected. To participate in the new currency, member states had to meet strict criteria such as a budget deficit of less than 3% of their GDP, a debt ratio of less than 60% of GDP, low inflation, and interest rates close to the EU average. Greece failed to meet the criteria and was excluded from participating on 1 January 1999.
History of the euro
The currency was introduced in non-physical form (traveller's cheques, electronic transfers, banking, etc.) at midnight on 1 January 1999, when the national currencies of participating countries (the eurozone) ceased to exist independently in that their exchange rates were locked at fixed rates against each other, effectively making them mere non-decimal subdivisions of the euro. The euro thus became the successor to the European Currency Unit (ECU). The notes and coins for the old currencies, however, continued to be used as legal tender until new notes and coins were introduced on 1 January 2002 (having been distributed in small amounts in the previous December). Beginning on 1 January 1999, all bonds and other forms of government debt by eurozone nations were denominated in euros.
Euro
The name "euro" was officially adopted on 16 December 1995 in Madrid. The euro was introduced to world financial markets as an accounting currency on 1 January 1999, replacing the former European Currency Unit (ECU) at a ratio of 1:1 (US$1.1743). Physical euro coins and banknotes entered into circulation on 1 January 2002, making it the day-to-day operating currency of its original members, and by March 2002 it had completely replaced the former currencies. While the euro dropped subsequently to US$0.83 within two years (26 October 2000), it has traded above the U.S. dollar since the end of 2002, peaking at US$1.60 on 18 July 2008. In late 2009, the euro became immersed in the European sovereign-debt crisis, which led to the creation of the European Financial Stability Facility as well as other reforms aimed at stabilising and strengthing the currency.
100 euro note
The one hundred euro note (€100) is one of the higher value euro banknotes and has been used since the introduction of the euro (in its cash form) in 2002. The note is used daily by some 343 million Europeans and in the 23 countries which have it as their sole currency (with 22 legally adopting it). In August 2018, there were approximately 2,725,000,000 hundred euro banknotes in circulation in the eurozone. It is the third most widely circulated denomination, accounting for over 12% of the total banknotes.
Euro coins
In 2004 €2 commemorative coins were allowed to be minted in six states. By 2007, all states but France, Ireland and the Netherlands had minted a commemorative issue and the first eurozone-wide commemorative coin was issued to celebrate 50 years of the Treaty of Rome. In 2009, the second eurozone-wide issue of a 2-euro commemorative coin was issued, celebrating ten years of the Economic and Monetary Union (EMU). In 2012, the third eurozone-wide issue of a 2-euro commemorative coin was issued, celebrating 10 years of euro coins and notes. To date, only Cyprus has not independently issued a €2 commemorative coin.
Single Euro Payments Area
In regulation (EC) 924/2009 (the Cross-border Payments Regulation), the European Parliament mandated that charges in respect of cross-border payments in euro (of up to EUR 50,000) between EU member states shall be the same as the charges for corresponding payments within the member state. However, the EU Regulation does not apply to all SEPA countries; the most significant difference is the inclusion of Switzerland in SEPA but not the EU. The rule of the same price applies even if the transaction is sent as an international transaction instead of a SEPA transaction (common before 2008, or if any involved bank does not support SEPA transactions). Regulation 924/2009 does not regulate charges for currency conversion so charges for non-euro transactions can still be applied (if not banned by national law).
Pound sterling
The idea of replacing the pound with the euro was always controversial with the British public, partly because of the pound's identity as a symbol of British sovereignty and because it would, according to many critics, have led to suboptimal interest rates, harming the British economy. In December 2008, the results of a BBC poll of 1000 people suggested that 71% would vote no to the euro, 23% would vote yes, while 6% said they were unsure. The pound did not join the Second European Exchange Rate Mechanism (ERM II) after the euro was created. Denmark and the UK have opt-outs from entry to the euro. Theoretically, every other EU nation must eventually sign up.
Future enlargement of the European Union
States in western Europe who have chosen, for various reasons, not to become full members of the EU have integrated with it to different extents according to their circumstances. Iceland, Norway and Liechtenstein participate directly in the single market via the European Economic Area, Switzerland does so via bilateral treaties and the other European microstates have specific agreements with the EU and neighbouring countries, including their use of the euro as their currency. Most of these countries are also part of the Schengen Area. While this integration is designed as a substitute for full membership, there are ongoing debates in a number of these countries as to whether they should join as full members. Three (Norway, Iceland and Switzerland) have all previously had live applications to join the EU which have been withdrawn or otherwise frozen. Such applications could be resubmitted in the event of a change in the political landscape.
Euro
The rates were determined by the Council of the European Union, based on a recommendation from the European Commission based on the market rates on 31 December 1998. They were set so that one European Currency Unit (ECU) would equal one euro. The European Currency Unit was an accounting unit used by the EU, based on the currencies of the member states; it was not a currency in its own right. They could not be set earlier, because the ECU depended on the closing exchange rate of the non-euro currencies (principally the pound sterling) that day.
500 euro note
The euro was founded on 1 January 1999, when it became the currency of over 300 million people in Europe. For the first three years of its existence it was an invisible currency, only used in accountancy. Euro cash was not introduced until 1 January 2002, when it replaced the national banknotes and coins of the countries in eurozone 12, such as the Luxembourgish franc.
2000s (decade)
A common currency for most EU member states, the euro, was established electronically in 1999, officially tying all the currencies of each participating nation to each other. The new currency was put into circulation in 2002 and the old currencies were phased out. Only three countries of the then 15 member states decided not to join the euro (the United Kingdom, Denmark and Sweden). In 2004 the EU undertook a major eastward enlargement, admitting 10 new member states (eight of which were former communist states). Two more, Bulgaria and Romania, joined in 2007, establishing a union of 27 nations.
Enlargement of the eurozone
Northern Cyprus is legally part of the EU, but law is suspended due to north being under the control of the Turkish Republic of Northern Cyprus, which the EU does not recognise. The North uses the Turkish lira instead of the euro, although the euro circulates alongside the lira and other currencies. On the resolution of the Cyprus dispute and the reunification of the island, the euro would become the official currency of the north also as part of the South's membership.
Withdrawal from the Eurozone
In the mid-2010s, polls conducted across Europe, showed that because of the general "disillusionment with the European Union," which has "more noticeably affected Greece, Belgium, the United Kingdom, the Netherlands and Italy," there is also a "significant erosion" in the support for a common currency. In the majority of European countries surveyed in 2015 by Gallup International most respondents "oppose the Euro." In the two "key Eurozone members" Germany and France, as well as in Spain, majorities in favour of retaining the Euro as common currency are present. Among Eurozone members the strongest anti-Euro sentiments were registered in Italy and Greece.
European Fiscal Compact
On 30 January 2012 after several weeks of negotiations, all EU leaders except those from United Kingdom and Czech Republic endorsed the final version of the fiscal pact at the European summit in Brussels, though the treaty was left open to accession by any EU member state and Czech prime minister Petr Nečas said his country may join in the future. The treaty only becomes binding on the non-eurozone signatory states after they adopt the euro as their currency, unless they declare their intention to be bound by part, or all, of the treaty at an earlier date. The new treaty was signed on 2 March and will come into force on 1 January 2013, if it has been ratified (which requires the approval of national parliaments) by at least 12 countries that use the euro. Ireland held a referendum on the treaty on 31 May 2012, which was approved by 60.3%.
Opt-outs in the European Union
All member states, other than Denmark and the United Kingdom, have either adopted the euro or are legally bound to do so. During the negotiations of the Maastricht Treaty of 1992 the UK secured an opt-out, while a gave Denmark the right to decide if and when they would join the euro. Denmark subsequently notified the Council of the European Communities of their decision to opt out of the euro, and this was included as part of the 1992 Edinburgh Agreement, a Decision of Council, reached following the Maastricht Treaty's initial rejection in a 1992 Danish referendum. The purpose of the agreement was to assist in its approval in a second referendum, which it did.
European integration
The European Economic Area (EEA) agreement allows Norway, Iceland and Liechtenstein to participate in the European Single Market without joining the EU. The four basic freedoms apply. However, some restrictions on fisheries and agriculture take place. Switzerland is linked to the European Union by Swiss-EU bilateral agreements, with a different content from that of the EEA agreement.
The Eurozone refers to the European Union member states that have adopted the euro currency union as the third stage of the European Economic and Monetary Union (EMU). Further, certain states outside the EU have adopted the euro as their currency, despite not belonging to the EMU. Thus, a total of 25 states, including 19 European Union states and six non-EU members, currently use the euro.
Enlargement of the eurozone
The EU's position is that no independent sovereign state is allowed to join the eurozone without first being a full member of the European Union (EU). However, four independent sovereign European microstates situated within the borders of the eurozone states, have such a small size — rendering them unlikely ever to join the EU — that they have been allowed to adopt the euro through the signing of monetary agreements, which granted them rights to mint local euro coins without gaining a seat in the European Central Bank. In addition, some dependent territories of EU member states have also been allowed to use the euro without being part of the EU, conditional the signing of agreements where a eurozone state guarantee their prior adoption of regulations applying specifically for the eurozone.
Euro
The currency was introduced in non-physical form (traveller's cheques, electronic transfers, banking, etc.) at midnight on 1 January 1999, when the national currencies of participating countries (the eurozone) ceased to exist independently. Their exchange rates were locked at fixed rates against each other. The euro thus became the successor to the European Currency Unit (ECU). The notes and coins for the old currencies, however, continued to be used as legal tender until new euro notes and coins were introduced on 1 January 2002.
Euro sign
Placement of the sign also varies. Partly since there are no official standards on placement, countries have generated varying conventions or sustained those of their former currencies. For example, in Ireland and the Netherlands, where previous currency signs (£ and "ƒ", respectively) were placed before the figure, the euro sign is universally placed in the same position. In many other countries, including France, Belgium, Germany, Italy, Spain, Latvia and Lithuania, an amount such as €3.50 is usually written as 3,50 € instead, largely in accordance with conventions for previous currencies.
Euro
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 legal tender varied from member state to member state. The earliest date was in Germany, where the mark officially ceased to be legal tender on 31 December 2001, though the exchange period lasted for two months more. Even after the old currencies ceased to be legal tender, they continued to be accepted by national central banks for periods ranging from several years to indefinitely (the latter for Austria, Germany, Ireland, Estonia and Latvia in banknotes and coins, and for Belgium, Luxembourg, Slovenia and Slovakia in banknotes only). The earliest coins to become non-convertible were the Portuguese escudos, which ceased to have monetary value after 31 December 2002, although banknotes remain exchangeable until 2022.
Andorra and the euro
Unlike the three other European microstates outside of the EU, Monaco, San Marino and the Vatican City, which adopted the euro when it was introduced, Andorra did not conclude a monetary agreement with the EU but rather used it unilaterally. These agreements gave the three microstates the right to issue their own euro coins, which have a common design on one side, and a national-specific side on the other. As with coins minted in other eurozone states, the microstate coins are valid across the eurozone; however they do not gain representation on the euro's governing bodies, the European Central Bank (ECB) and the Eurogroup. In 2003 Andorra requested that the EU conclude a monetary agreement with it which would give it the right to mint its own coins.
Euro
Outside the eurozone, a total of 22 countries and territories that do not belong to the EU have currencies that are directly pegged to the euro including 14 countries in mainland Africa (CFA franc), two African island countries (Comorian franc and Cape Verdean escudo), three French Pacific territories (CFP franc) and three Balkan countries, Bosnia and Herzegovina (Bosnia and Herzegovina convertible mark), Bulgaria (Bulgarian lev) and Macedonia (Macedonian denar). On 28 July 2009, São Tomé and Príncipe signed an agreement with Portugal which will eventually tie its currency to the euro. Additionally, the Moroccan dirham is tied to a basket of currencies, including the euro and the US dollar, with the euro given the highest weighting.
Economic history of Europe
The nations involved in the initial treaty were Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal, and Spain. These nations agreed in principle to the European Monetary Union (EMU) in 1999 and installed the Euro as its currency on January 1, 2001. More European countries agreed to join the union in the following years; Slovenia (2007), Cyprus and Malta (2008), and Slovakia (2009). Countries are only allowed to begin utilizing the Euro when they have met certain requirements set about by the EMU. The criteria includes "a low and stable inflation, exchange rate stability and sound public finances." The reason for such criteria is because the best way to achieve a successful economy is by ensuring price stability.
Cross-national cooperation and agreements
The largest and most comprehensive regional economic group is the EU. It began as a free trade agreement with the goal to become a customs union and to integrate in other ways. The formation of the European Parliament and the establishment of a Euro the common currency make EU the most ambitious in comparison to other regional trade groups. It progressed from being the European Economic Community (EEC) to the European Community (EC) to finally the European Union. Iceland, Liechtenstein, Norway, and Switzerland who decided not to leave European Free Trade Area are linked together with the EU as a customs union. The EU comprises 28 countries, including 12 countries from mostly Central and Eastern Europe that joined since 2004. The EU abolished trade barriers on intra-zonal trade, instituted a common external tariff, created a common currency, the euro.
Microstates and the European Union
Andorra, Monaco, San Marino, and the Vatican City use the euro through monetary agreements with the EU, and have been granted the right to issue a limited number of euro coins. They were allowed to do so as they had used or been tied to the old eurozone currencies. Liechtenstein, on the other hand, uses the Swiss franc.
Symbols of the European Union
The euro, €, was not one of the original symbols created by the Council of Europe and is specific to the EU, but it has become a symbol since it replaced 12 national currencies in 2002. It is now used by most EU Member States and hence it (along with its currency symbol) has become one of the most tangible symbols of European unity for citizens of the European Union (though this of course is not intended to apply to wider Europe as the others do).
There have been other pan-European organisations which have not adopted the same symbols as the Council of Europe or the European Union, or have symbols derived from these. The Flag of the European Coal and Steel Community (the first of the three European Communities) was developed around the same time as the Flag of Europe and shares the use of stars and the colour blue, but uses completely different arrangement and symbolism.
World currency
As with the dollar, some of the world's currencies are pegged against the euro. They are usually Eastern European currencies like the Bulgarian lev, plus several west African currencies like the Cape Verdean escudo and the CFA franc. Other European countries, while not being EU members, have adopted the euro due to currency unions with member states, or by unilaterally superseding their own currencies: Andorra, Monaco, Kosovo, Montenegro, San Marino, and Vatican City.
Eurozone
In February 2016, the UK secured further confirmation that countries that do not use the Euro would not be required to contribute to bailouts for Eurozone countries.
World government
The EU's example is being followed by the African Union, the Union of South American Nations, the Organization of Central American States, and the Association of Southeast Asian Nations. A multitude of regional associations, aggregating most nations of the world, are at different stages of development towards a growing extent of economic, and sometimes political, integration. The European Union consists of twenty-eight European states. It has developed a "single market" which allows people of different countries to travel from state to state without a passport. This also includes the same policies when it comes to trading. The European Union is said to have 26% of the world's money. Not all EU member states use the Euro; the United Kingdom, for example, retains the pound sterling. Where the Euro is in place, it allows easy access for the free circulation of trade goods. Tariffs are also the same for each country allowing no unfair practices within the union.
Policy learning
European countries created the Euro to simplify trading between European Union countries. Adopting the Euro would remove currency risk and the cost of currency conversion, and provide a common monetary policy among members. Policy learning took places as more European countries learned that joining the Eurozone would give them access to other markets. Citizens of EU member countries could travel to other EU countries within the Schengen area without transiting a border checkpoint. The learning did not reach all policy sectors. Some EU countries kept their budgets in near balance amid strong growth and employment, while others' budgets were so far out of balance that their overall debt created fears about their ability to make their payments.
Euro convergence criteria
In 2009 the authors of a confidential International Monetary Fund (IMF) report suggested that in light of the ongoing global financial crisis, the EU Council should consider granting new EU member states which are having difficulty complying with all five convergence criteria the option to "partially adopt" the euro, along the lines of the monetary agreements signed with the European microstates outside the EU. These states would gain the right to adopt the euro and issue a national variant of euro coins, but would not get a seat in ECB or the Eurogroup until they met all the convergence criteria. However, the EU has not made use of this alternative accession process.
Euro banknotes
The W, K and J codes have been reserved for the three EU member states that did not adopt the euro in 1999, while the R prefix is reserved for Luxembourg, which, at present, does not issue euro banknotes. The first series of uncirculated notes from Luxembourg use the prefix belonging to the country where they were printed.
Accession of Kosovo to the European Union
It is unclear how Kosovo's unilateral use of the euro will impact their aspirations for further integration into the EU, which requires that states meet several convergence criteria prior to being allowed to join the eurozone. Montenegro, like Kosovo, has also unilaterally adopted the euro and is currently conducting membership negotiations with the EU. Since Montenegro's application for membership, the European Commission and the ECB have voiced their discontent over its use of the euro on several occasions. A statement attached to its Stabilisation and Association Agreement with the EU read: "unilateral introduction of the euro was not compatible with the Treaty." The issue is expected to be resolved through the negotiations process. The ECB has stated that the implications of unilateral euro adoption "would be spelled out at the latest in the event of possible negotiations on EU accession." Diplomats have suggested that it is unlikely Montenegro will be forced to withdraw the euro from circulation in their country.
International status and usage of the euro
In various countries the euro is accepted by some merchants albeit not being official currency there. Additionally sometimes it is used for pricing purposes even if the actual payments are made in the official currency (e.g., for real estate).
European Currency Unit
On 1 January 1999, the euro (with the code EUR and symbol €) replaced the ECU, at the value €1 = 1 ECU. Unlike the ECU, the euro is a real currency, although not all member states participate (for details on euro membership see Eurozone). Two of the countries in the ECU basket of currencies, UK and Denmark, did not join the eurozone, and a third, Greece, joined late. On the other hand, Finland and Austria joined the eurozone from the beginning although their currencies were not part of the ECU basket (since they had joined the EU in 1995, two years after the ECU composition was "frozen")
100 euro note
The euro was founded on 1 January 1999, when it became the currency of over 300 million people in Europe. For the first three years of its existence it was an invisible currency, only used in accountancy. Euro cash was not introduced until 1 January 2002, when it replaced the national banknotes and coins of the countries in eurozone 12, such as the French franc and the Spanish peseta.
Euro sign
The euro sign (€) is the currency sign used for the euro, the official currency of the European Union (EU) and other non-EU countries (Kosovo and Montenegro). The design was presented to the public by the European Commission on 12 December 1996. It consists of a stylized letter E (or epsilon), crossed by two lines instead of one. The character is encoded in Unicode at . In English, the sign precedes the value (for instance, €10, not 10 €, unlike most other European languages). In some style guides, the euro sign is not spaced (10€).