Evolution Of EURO

Evolution of EURO : 

Evolution of EURO Presented by NARENDRA ARYAL Apex College

Table of Contents : 

Table of Contents Introduction Why EU comes ? Treaty of Paris ( 1951 ) Treaty of Rome ( 1957 ) Treaty of Maastricht ( 1992 ) Treaty of Amsterdam ( 1997 ) Treaty of Nice ( 2001 ) Member Countries Criteria for Joining the euro

Introduction : 

Introduction History of EURO Established by the provisions in the 1992 Maastricht Treaty. In order to participate in the currency, member states are meant to meet strict criteria The name euro was officially adopted on 16 Dec1995 Introduced to world financial markets as an accounting currency on 1 Jan 1999 The official currency of 16 of the 27 member states of the European Union (EU) Managed and administered by the Frankfurt – based European Central Bank (ECB) Common designs on both sides These rates were set by Council Regulation 2866/98 (EC Freely used in any nation which has adopted the euro

Slide 4: 

Why EU comes ? Business Opportunities Economic Size Demography Labor Market Education and Research Information Technology and Digital Divide.

Why EU comes ?... (Cont.) : 

Why EU comes ?... (Cont.) Business Challenge Lack of European Identity Non-uniform Corporate Taxes Non-uniform Value Added Taxes Immigration Policy

Different Treaty : 

Different Treaty Treaty of Paris ( 1951 ) Creation of the European Coal and Steel Community

Different Treaty…..(Cont.) : 

Different Treaty…..(Cont.) Treaty of Rome ( 1957 ) Formation of the European Economic Community

Different Treaty…..(Cont.) : 

Different Treaty…..(Cont.) Treaty of Maastricht ( 1992 ) Formation of the European Union

Different Treaty…..(Cont.) : 

Different Treaty…..(Cont.) Treaty of Amsterdam ( 1997 ) Established the beginning of a Common Foreign and Security Policy

Different Treaty…..(Cont.) : 

Different Treaty…..(Cont.) Treaty of Nice ( 2001 ) Established a democratic voting system to accommodate EU enlargement

Member Countries : 

Member Countries 1951 Founding Members Belgium France Germany Italy Luxembourg The Netherlands 1973 Denmark Ireland The United Kingdom 1981 Greece 1986 Portugal Spain 1990 East Germany 1995 Austria Finland Sweden 2004 Cyprus Czech Republic Estonia Hungary Latvia Lithuania Malta Poland Slovakia Turkey Croatia

Criteria for Joining the euro, Economic & Monetary Union : 

Criteria for Joining the euro, Economic & Monetary Union Inflation: Not to exceed 1.5% points of the average of the best three performing countries Interest Rates: Not to exceed 2% points of the average of the best three performing countries Fiscal Deficit/GDP ratio: Not to exceed 3% Public Debt/GDP ratio: Not to exceed 60%.

Criteria of EU : 

Criteria of EU Criteria – I Applicant countries must have stable institutions that guarantee democracy, the rule of law, human rights, and protection of minorities (the political criteria)

Criteria of EU… (Cont.) : 

Criteria of EU… (Cont.) Criteria – II Applicant countries must have a functioning market economy, and the capacity to cope with competitive pressures (the economic criteria)

Criteria of EU…(Cont.) : 

Criteria of EU…(Cont.) Criteria – III Applicant countries must have the ability to take on the obligations of membership (to apply effectively EU rules and policies --acquis communautaire)

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THANK YOU Any Questions…..?