History of Euro –
the Euro currency was introduced as an accounting currency on January 1, 1999 one thousend nine hundred ninty nine.
The history of Euro started with the acceptance of the Maastricht Treaty in 1992.
The history of Euro begun with participating countries fixing their domestic currencies to the Euro. This event in the history of Euro meant that local currencies were not allowed to fluctuate against the Euro and against each other. When the history of Euro was started, Euro was launched first as an electronic currency.
Euro as a cash currency did not become a legal tender until later, on January 1, 2002.
The German Mark, French Franc, Italian Lira, and other local currencies ceased to exist on July 1, 2002. This date was important not only as the history of Euro in its cash form, but this date was also important in the history of Euro as the beginning of centralized monetary policy. With the introduction of Euro, the European Central Bank started implementing monetary policy of the countries which were using the common currency.
Originally twelve (12) of the fifteen EU countries (Germany, France, Austria, Spain, Portugal, Italy, Belgium, Luxembourg, the Netherlands, Finland, Greece and Ireland) were members of the so-called Eurozone.
Euro history tells us that these states were joined later by other 7 countries.
As of 2018 The eurozone consists of 19 countries such as Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Portugal, Slovakia, Slovenia, and Spain.
A the end lets take a lok kat euro banknotes and coins.
Banknotes of the euro, the currency of the Eurozone, have been in circulation since the first series was issued in 2002. They are issued by the national central banks of the Eurosystem or the European Central Bank
Denominations of the notes range from €5 to €500 and, unlike euro coins, the design is identical across the whole of the Eurozone, although they are issued and printed in various member states.
While euro coins have a national side indicating the country of issue (although not necessarily of minting), euro notes lack this.
Instead, this information is shown by the first character of each note’s serial number.
There are seven different denominations of the euro banknotes: €5, €10, €20, €50, €100, €200 and €500. Each has a distinctive colour and size. The designs for each of them have a common theme of European architecture in various artistic eras.
The European Central Bank intends to redesign the notes every seven or eight years. A new series, called the “Europa series”, has been released from 2013
Legally, both the European Central Bank and the national central banks (National Central Banks) of the Eurozone countries have the right to issue the 7 different euro banknotes. In practice, only the NCBs of the zone physically issue and withdraw euro notes. The European Central Bank does not have a cash office and is not involved in any cash operations.
Except banknotes There are eight euro coin denominations, ranging from one cent to two euros (and one 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.
What you can see, The obverse side varies from state to state, with each member allowed to choose its own design. Each of the eight coins can have the same design (such as Irish coins), or can vary from coin to coin (such as Italian coins). In monarchies, the national side usually shows a portrait of the country’s monarch, often in a design carried over from the former currency (e.g. Belgian coins).
The Euro was implemented with the goal of creating a more stable European economy.
Looking at the history of euro, we can see that the Euro improved economic growth across Europe and offered more integration among financial markets.
The euro history also shows that the Euro currency strengthened European presence in the global economy through being a reserve currency. The history of euro also proves that the Euro helped ease exchange rate volatility among different European nations.
The history of euro has brought also a number of problems. While the euro improved stability of the region, all nations have to have relatively similar interest rate to avoid interest rate arbitrage. This has created problems for some economies in the euro history, such as Germany. The Euro has taken away the interest rate as a tool of the fiscal policy. If the local economy slows, the local government cannot lower interest rates to stimulate growth
