Estonia, Lithuania and Slovenia on Sunday became the first EU newcomers to join the "exchange-rate mechanism"
Published:
29 June 2004 y., Tuesday
Estonia, Lithuania and Slovenia on Sunday became the first EU newcomers to join the "exchange-rate mechanism" (ERM-2), paving the way for them to join the euro as early as 2007.
The decision was taken at a highly secretive meeting in Brussels involving officials from the 12 euro zone countries, the European Central Bank, Denmark, and the three countries that had applied for ERM-2 entry, according to the Baltic News Service. ERM-2 is often referred to as the "holding bay" for the euro. Countries wishing to join the euro must participate in ERM-2 for a minimum of two years.
During these two years, the mechanism aims to ensure a stable exchange rate between the euro and the currency of the prospective euro member since currencies in ERM-2 are not allowed to fluctuate by more than 15 percent against the euro. But before joining the euro, the applicant country must fulfil other criteria, such as maintaining low inflation and a low budget deficit.
Šaltinis:
EUobserver.com
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
Most EU countries continue to meet deadlines for incorporating single market rules into national law, contributing to economic growth and job creation.
more »
Japanese officials unveil their new bullet train, capable of travelling at speeds of 320 km per hour (198 miles per hour).
more »
The first International Security Technology Exhibition, KIPS 2011, will be held on 23-26 February 2011 in Kiev (Ukraine). The motto of the exhibition is ‘There can never be too much security!’
more »
The world's highest restaurant opens in Dubai, United Arab Emirates, located 400 metres above ground in Burj Khalifa, the world's tallest tower.
more »
The rights of consumers will be clarified and updated, whether they shop at a local store or buy goods on line, under new EU rules as amended by the Internal Market Committee on Tuesday.
more »
MEPs on Wednesday gave their green light for the Council to conclude an Interim Economic Partnership Agreement with Papua New Guinea and Fiji, two countries of the Pacific Region with significant exports to the EU.
more »
Report sets 10 priorities for tackling the bloc's main economic challenges, launching the first ever ‘European semester'.
more »
China's first capsule hotel ready to open its doors in Shanghai, aims to capture slice of booming leisure budget travel market.
more »
Declaration by Michel Barnier on the start of three new authorities for supervision.
more »
On 1 January, Estonia adopted the euro as its official currency and the changeover is running smoothly and according to plan.
more »