European Monetary Union, Theory and Practice: the Slovene Euro and the Future of EMU

Abstract

The European Monetary Union (EMU) had a long history before the single currency, the euro, was introduced in 1999, but the entry of the actual euro banknotes and coins into circulation on 1 January 2002 made the idea of EMU both very real and seemingly irrevocable. Eleven states qualified to join the euro upon its launch in 1999, with Greece joining as the twelfth member in 2001. Of the ten states that joined the European Union (EU) on 1 May 2004, Slovenia became the first to qualify to adopt the euro, on 1 January 2007, and that experience will be the focus of this paper.