Economic and Monetary Union (EMU)

Definition

The Economic and Monetary Union (EMU) is an area that shares a single market, a single currency, and where a unified monetary policy is implemented. It is the result of the process established in the Treaty establishing the European Community for the harmonization by EU Member States of economic and monetary policies and for the introduction of the euro.

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Further information

This process was carried out in three phases. The third and final phase began on January 1, 1999, with the transfer of monetary competencies to the European Central Bank and the introduction of the euro. The exchange of coins and banknotes on January 1, 2002, completed the process of establishing the Economic and Monetary Union (EMU).

The Economic and Monetary Union is composed of the following countries: Germany, Austria, Belgium, Cyprus, Croatia, Slovakia, Slovenia, Spain, Estonia, Finland, France, Greece, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, and Portugal.

In the compilation of statistics related to the entire EMU, the international organizations created in this context must also be taken into account:

  • European Central Bank
  • European Stability Mechanism
  • European Financial Stability Facility

The Economic and Monetary Union is also referred to as the euro area.

Related concepts

Legal frame

Update date: January 2025

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