1.1.1999

Start of the Euro⁽¹⁾ as a currency on its own on the international exchange markets^(2).

⁽¹⁾ 1 EURO = 1 ECU =  40.3399 BEF/LUF = 1.95583 DEM = 340.750 GRD = 166.386 ESP = 6.55957 FRF = 0.787564 IEP= 1936.27 ITL = 2.20371 NLG = 13.7603 ATS = 200.482 PTE = 5.94573 FIM

(2) First market rate: 1 EURO = 1,18 USD
 

12.1.1999

Parliament adopts a resolution on the Commission recommendation for a Council decision concerning exchange-rate matters relating to the CFA franc and the Comorian franc (COM(1998) 412, 1.7.1998).
The European Parliament approves the arrangements for pegging the CFA franc to the euro via the French franc and calls for an information campaign aimed at the general public in Europe and in the CFA countries and designed to explain the meaning and importance of this linkage.

- EU Bulletin 1//2  - 1999, point 1.3.16.
 

13.1.1999

Commission adopts a recommendation (1999/63/EC) concerning collector coins, medals and tokens.

In order to facilitate the transition to the euro and to reduce the risk of confusion for citizens during the transitional period (1 January 1999 to 31 December 2001), when the euro will exist only as book money, the Commission recommends that Member States should prohibit on the territory of the European Union throughout this period all collector coins denominated in euro and all medals and tokens which bear the word 'euro' or 'euro cent' or show a design which is similar to the design which appears on the common side of the euro coin.

- EU Bulletin 1//2  - 1999, point 1.3.15

 OJ L 20, 27.1.1999
 

11.2.1999

The European Parliament adopts a resolution on the constitutional implications of EMU.

In this resolution, the Parliament calls for a number of institutional innovations, in particular, as to the ‘democratic deficit’ in an EU economic and monetary union. In general, it considered that a single currency must have as its counterpart an economic and social union, and pointed out that establishing monetary union would require a 'federal-style' budgetary system or at least an institutional and financial mechanism enabling action to be taken to deal with a crisis affecting one or more Member States. Parliament also made a number of specific requests concerning the appointment of the President of the Central Bank and the closer alignment of Member States' tax systems.

- EU Bulletin 1//2  - 1999, point 1.3.17.
 

17.2.1999

Commission adopts the report (COM(1999)61) on economic and structural reform in the EU ('Cardiff II').

The Cardiff European Council called for reinforced economic policy coordination in order to ensure the smooth operation of economic and monetary union and to contribute to the preparation of the broad economic policy guidelines which are agreed in June of each year. In response, the Commission in this report presents an analysis of the recent economic and structural reforms carried out by the Member States. It stresses that structural reform is essential to foster employment and growth in Europe; document

- EU Bulletin 1//2  - 1999, point 1.3.3.
 

22.2.1999

Council adopts a Regulation ((EC) 423/1999) aiming to accede to the requests expressed both by the vending industry and by the visually handicapped by modifying the technical specifications for the 50-cent and 10-cent euro coins, thus amending the decision on denominations and technical specifications of euro coins intended for circulation (Regulation (EC) No 975/98).

- EU Bulletin 1/2  - 1999, point 1.3.14.
OJ L 52, 27.2.1999

11.3.1999

The European Parliament adopts a resolution on bank charges following the introduction of the euro.

The Parliament expresses its concern about the persistent level of bank charges for conversion transactions between currencies participating in the euro area, including charges for cross-border payments. It calls on the banking and financial sector to draw up a code of conduct to ensure that the provisions of Commission Recommendation (98/286/EC, 23.4.1998) were followed. It agreed with the deadline of 31 March 1999 set by the Commission for the banking and financial sector to ensure full transparency of bank charges and the reduction of those charges and believed that, if no results had been achieved by that date, consideration should perhaps be given to introducing binding legislation to ensure that consumers obtain the full benefits of European monetary union without delay.

- EU Bulletin 3  - 1999, point 1.3.8
  

13.4.1999

Commission report on the duration of the transitional period related to the introduction of the euro.(COM(1999) 174)

In response to a request from the Council that it consider the possibility of shortening the transitional period for the introduction of the euro, the Commission concluded that, in view of the technical obstacles that would have to be overcome (lead times for the production of euro coins and notes, time required for the design and adaptation of information systems, changeover to the euro by public administrations, and the further preparation of certain economic operators - small firms and traders in particular - it was desirable not to shorten the transitional period for the euro. It regarded the three-year period as an essential element of stability in the process of preparing economic operators and familiarising them with the euro.

- EU Bulletin 4  - 1999, point 1.3.2.
 

4.5.1999

The EP adopts a resolution on a recommendation from the Commission (COM(1999) 143) to the Council concerning the broad guidelines of the economic policies of the Member States and of the Community (1999).

The Parliament stresses the political and institutional importance of the Commission recommendation and welcomed the country-by-country assessments, which it had called for.

- EU Bulletin 5  - 1999, point 1.2.2.
 

10.5.1999

Council conclusions concerning collector coins, medals and tokens.

Reference: Commission recommendation 1999/63/EC

Noting that European citizens will not be familiar with the euro coins before 1 January 2002 and could therefore be misled if confronted with objects similar in appearance to the coins intended for circulation, the Council welcomed the Commission recommendation that, before the end of 2001, the Member States should not issue collector coins denominated in euro, and that collector coins, medals and tokens bearing the words 'euro' or 'euro cent' or showing a similar design should not be sold, produced, stocked, imported or distributed for the purpose of sale or for other commercial purposes.

- EU Bulletin 5  - 1999, point 1.2.3.
 

25.5.1999

The Council draft, prepared for the Cologne European Council, basically takes over the Commission recommendation, including the country-specific guidelines. Some minor changes have been made to the Commission text concerning State aid and Portugal, but the Commission's figures are unchanged, apart from the maximum budget deficit for Italy for the current year.

- EU Bulletin 5  - 1999, point 1.2.2

28.5.1999

Council adopts a resolution on increasing protection by penal sanctions against counterfeiting in connection with the introduction of the euro.

Reference: Commission communication on measures to combat counterfeiting of euro-denominated banknotes and coins: COM(1998) 474

This resolution provides that the European Union should equip itself with a binding legal instrument to combat counterfeiting of the euro, and defines guidelines for drafting it.

- EU Bulletin 5  - 1999, point 1.4.14.

3./4.6.1999

European Council chaired by Mr. Schröder in Köln;

The European Council adopted the European Employment Pact and noted that, with the introduction of the euro, the European Union is in a position to play a role commensurate with its economic weight in the global economy.

It once again stressed the need for strict application of the provisions of the Stability and Growth Pact, which involves ambitious efforts to consolidate public budgets. It also welcomed the broad economic policy guidelines of the Member States and of the Community. Lastly, it welcomed the Council report on improvements in the functioning of the international financial system and called on the Member States to work closely together to implement the proposals made.

- EU Bulletin 6  - 1999, point 1.2.1.
 

12.7.1999

The Council adopts in accordance with Article 99(2) of the EC Treaty the recommendation (1999/570/EC) on the broad guidelines of the economic policies of the Member States and of the Community (1999).

References: Commission recommendation: COM(1999) 143;

Parliament resolution: Bull. 5-1999;
Draft Council Recommendation: Bull. 5-1999;
Conclusions of the Cologne European Council: Bull. 6-1999.

OJ L 217, 17.8.1999
 

13.9.1999

The Commission adopts a proposal to change the application of the protocol on the excessive deficit procedure annexed to the Treaty establishing the European Community.

Reference: Council Regulation (EC) No 3605/93)

The purpose is to make the technical amendments which necessitated by the introduction of the European system of national and regional accounts in the Community (ESA/95). (document: COM(1999) 444)

- EU Bulletin 9  - 1999, point  1.2.1.

27.10.1999

The EP called for a high degree of transparency in the conduct of monetary policy. It urged the Bank to publish various reports concerning not only the macroeconomic forecasts but also overall economic developments in each of the participating euro-area countries. Parliament also asked Member State governments not to provide monetary financing for public institutions. Lastly, Parliament expressed the view that the Bank should become more involved in activities aimed at creating greater stability on financial markets.

- EU Bulletin 10  - 1999, point 1.3.2.
 

8.11.1999

…The cash changeover in the euro zone is an unprecedented logistical challenge. … The results obtained in discussions among all those concerned have allowed ministers from participating Member States, in close cooperation with national central banks and in line with the views expressed by the European Central Bank, to arrive at common views on the outlines of the cash changeover. These leave room for Member States to implement the cash changeover in the way which suits best the specific circumstances in each country.

1. Member States will make their best efforts to ensure that the bulk of cash transactions can be made in euros by the end of a fortnight from 1 January 2002.
2. Member States consider that the period of dual circulation of the old and new notes and coins will last between four weeks and two months. Member States may facilitate the exchange of old notes and coins after this period.
3. To provide for a sufficient quantity for circulation in the first days of January 2002, it would be helpful if financial institutions and certain other groups, notably cash-in-transit companies and retailers, were already provided with notes and coins some time before 1.1.2002. Member States recall that such frontloading must not lead to putting euro banknotes and coins into circulation before 1.1. 2002.
4. In order to help citizens to familiarise themselves with the new coins and to facilitate the changeover, Member States agree that making limited quantities of coins available to the public on request, notably to the vulnerable groups of the population, can be envisaged but not before the second half of December 2001.'

- EU Bulletin 11  - 1999, point 1.3.3.
 

24.11.1999

The Commission approves a regulation on the use of the euro in the Structural Funds.

(Reference: Council Regulation (EC) No 1260/1999 laying down general provisions on the Structural Funds: OJ L 161, 26.6.1999)
The regulation lays down the detailed rules for expressing amounts and committing and paying contributions from the funds in euros.

- EU Bulletin 11  - 1999, point 1.3.73.
 

26.11.1999

The Commission adopts a report to the Council and to the Parliament concerning the review of the single facility providing medium-term financial assistance for Member States' balances of payments.

The report examines the operation of medium-term financial assistance for Member States experiencing difficulties in their balance of payments on current or capital account. This facility, which is governed by Council Regulation (EEC) No 1969/88, can be activated either at the request of a Member State or under Article 119 of the EC Treaty, which will remain in force during the third stage of EMU for Member States with a derogation. Since 1 January 1999 the Member States participating in the single currency have no longer been eligible for Community medium-term financial assistance for their balance of payments. … the Commission proposes reducing the current ceiling of EUR 16 billion to EUR 12 billion. (doc. COM(1999) 628)

- EU Bulletin 11  - 1999, point 1.3.6.
 

29.11.1999

The Council adopts a report on economic policy coordination: review of instruments and experience in stage three of economic and monetary union (EMU) for the European Council in Helsinki.

Following the request by the European Council in December 1998 (Wien) to report on the functioning of the coordination of economic policies in stage three of EMU, the Council approved a draft report focusing on four issues: the fundamental principles governing economic policy in EMU, the experience gained to date, concrete steps to improve the effectiveness of the existing framework, and possible ways of enhancing the transparency and legitimacy of the process.

- EU Bulletin 11  - 1999, point 1.3.1.
 

29.11.1999

Council decision concerning the excessive deficit procedure in respect of Greece.

On the basis of a recommendation of the Commission (10.11.1999) the Council repeals its decision (Regulation (EC) No 3605/93) on the existence of an excessive deficit in Greece pursuant to Article 104(13) of the EC Treaty.

- EU Bulletin 11  - 1999, point 1.3.2.
 

2.12.1999

The Parliament adopts a resolution on the report from the Commission (13.4.1999; COM(1999) 174) on the duration of the transitional period related to the introduction of the euro.

The Parliament took the view that the three-year transitional period envisaged at the Madrid European Council should be maintained. In its view, it would also be helpful if, from the second week of the year 2002 at the latest, change were given to customers in the retail trade in euro as opposed to national currency units.
 Similarly, for the period of dual circulation starting on 1 January 2002, which, under the Treaty, could last six months, Parliament was of the opinion that it should be reduced to two months.
 … it was also in favour of frontloading banks with notes and coins well in advance of 1 January 2002 and retailers, public administrations and consumers from the beginning of December 2001, even though payments by means of euro notes and coins will be possible only as of 1 January 2002.
 … asks the Commission and the Member States to monitor closely the use of dual-price display during this period, to organise a comprehensive information campaign covering all practical aspects of the euro and to encourage increased use of electronic money.

- EU Bulletin 12  - 1999, point 1.2.3.
 

10./11.12.1999

The European Council chaired by Mr Lipponen in Helsinki

Under the chapter “Policy coordination for economic growth and job creation”, among others, the European Council welcomes (point 32.) the report on economic policy coordination by the Council and stresses its major importance in reinforcing coordination of economic, employment and structural policies in order to exploit fully the potential of the single market and the single currency.
 Emphasis on effectively streamlining existing processes and on closely monitoring policy implementation.  The broad economic policy guidelines shall provide the framework for the definition of overall policy objectives and orientations.
 The synergy between these guidelines, the employment guidelines and the monitoring of structural reform should be further developed.
… the role of the Ecofin Council in economic policy coordination should be enhanced and cooperation related to the shared responsibilities for the single currency should be further developed within the euro-zone countries (EUR-11).

- EU Bulletin 12  - 1999, point  I.10. 30.
 

17.12.1999

The Council abrogates the decision on the existence of an excessive deficit in Greece. (Decision 2000/33/EC)

(References: Article 104(12) of the EC Treaty;
Council Regulation (EC) No 3605/93 on the application of the protocol on the excessive deficit procedure annexed to the Treaty establishing the European Community: OJ L 332, 31.12.1993; Council decision on the existence of an excessive deficit in Greece: Bull. 9-1994;
Council recommendation on bringing to an end the excessive government deficit in Greece: Bull. 6-1998;
Commission recommendation: Bull. 11-1999;
Draft Council decision: Bull. 11-1999)

- EU Bulletin 12  - 1999, point  1.2.2.
OJ L 12, 18.1.2000
 

23.12.1999

Decision 2000/9/EC (ECB/1999/11)

- EU Bulletin 12 - 1999, point  1.2.4. + 1.10.22.
OJ L 4, 7.1.2000
 

26.1.2000

The Commission adopts a report entitled 'Economic reform: report on the functioning of Community product and capital markets' (COM(2000) 26)

In this second annual report in response to the conclusions of the European Council in Cardiff (1998), the Commission points out that the current economic upturn provides a window of opportunity to enhance European competitiveness and rapidly carry out the reforms needed to encourage innovation and entrepreneurship. The Commission proposes to monitor and assess product and capital market performances to identify regulatory failure at EU level. Markets are still suffering from excessive fragmentation, above all of services, and are not therefore functioning ideally. The Commission goes on to list the policy prescriptions needed to sustain economic reform and remove barriers to the efficient functioning of markets

- EU Bulletin 1/2  - 2000,  point 1.3.29.
 

31.1.2000

To ensure that euro collector coins will be readily distinguishable from euro coins intended for circulation, the Council identified a number of rules. For example, the face value of collector coins should be different from the eight denominations of the coins intended for circulation,  collector coins should not use images which are similar to the common faces of the latter (the national faces may be identical).
 In two out of three respects (colour, diameter and thickness), euro collector coins should differ significantly from the coins intended for circulation, and the identity of the issuing Member State should be clearly and easily recognisable.
With regard to the detailed technical specifications of euro coins, the Council welcomed the agreement reached between the Member States' mint directors on technical measurements and tolerances to be observed as the basis for the production of coins.

- EU Bulletin 1/2  - 2000,  point 1.3.15.

2.2.2000

'2002: Nothing but the euro - Communications strategy in the last phases of the completion of EMU'.

In this communication, the Commission updates the priorities and strategy of the information campaign on the introduction of the euro with a view to intensifying it. Enterprises, especially SMEs, the general public and the non-participant countries will be the targets of the campaign over the next two years. Although the main responsibility for communication on the euro lies with Member States, the Commission confirms its commitment to the campaign and proposes, with Parliament's support, adequate funding, proper coordination of all parties involved and appropriate monitoring of the results.

(document: COM(2000) 57)

- EU Bulletin 1/2  - 2000,  point 1.3.14.
 

28.2.2000

The Council adopts a regulation ((EC) No 475/2000) making the necessary technical amendments to the European system of national and regional accounts in the Community (ESA95)

(Council Regulation (EC) No 3605/93)

- EU Bulletin 1/2  - 2000,  point 1.3.13.
OJ L 58, 3.3.2000
 

28.2.2000

The Council decides on a proposal of the Commission (doc. COM(1999) 444, see 13.9.1999) and endorsed by the Parliament on February 17, to amend the application of the protocol on the excessive deficit procedure annexed to the Treaty establishing the European Community.

(Regulation (EC) 475/2000 amending Regulation (EC) 3605/93: OJ L 332, 31.12.1993)

Reason: introduction of the European system of national and regional accounts in the Community (ESA95).

- EU Bulletin 1/2  - 2000,  point 1.3.13.
OJ L 58, 3.3.2000
 

28.2.2000

Major conclusions are:

1. Each Member State should establish a national coin analysis centre and a national counterfeit centre in accordance with national law and practice. These centres should ensure the link with
2. a database, to be established at the European Central Bank, containing all technical data on counterfeit euro banknotes and coins.
3. As a centrepiece of the scheme, a European Technical and Scientific Centre (ETSC), which would analyse and classify new counterfeit coins, was to be established on a temporary basis in France, using the expertise of the Paris Mint.
4. The Community budget should make an appropriate contribution to the ETSC's operating costs in accordance with the applicable financial regulations. An in-depth status report on the ETSC's actions was to be prepared at the end of 2003 or earlier if appropriate.
5. On the basis of that report, the Council would decide upon the future status and permanent location of the ETSC in conformity with the applicable Treaty procedures.
6. The assessment report was to be prepared by the mint directors' working group in collaboration with the Commission, after consulting the European Central Bank. The report, together with an opinion of the ECB, was to be submitted to the Council and to the Economic and Financial Committee.
7. Member States and the Commission should take the necessary steps for setting in place this technical scheme for combating euro coin counterfeiting.

- EU Bulletin 1/2  - 2000,  point 1.3.16.
 

1.3.2000

The Economic and Social Committee adopts an own-initiative opinion called “An assessment of the introduction of the single currency”.

The Committee expressed, among others, the view

1. that the introduction of the single currency had already had a positive impact on the euro-area economy by preventing an increase in speculation on national currencies and strengthening the European financial markets, thereby bringing down interest rates;
2. It would also like more attention to be given to technical and psychological difficulties that could upset the launch of the euro.
3. that the credibility of the European currency would depend not just on monetary factors, but also on better policy coordination in order to improve the competitiveness of the euro economic area.

- EU Bulletin 3  - 2000,  point 1.3.9.
 

2.3.2000

The European Parliament adopts a resolution on the Commission document 'The EU economy: 1999 review'.

(Reference: Commission document 'The EU economy: 1999 review', published in European Economy No 69/1999)

- EU Bulletin 3  - 2000,  point 1.3.2.

9.3.2000

Greece applies to join the third stage of economic and monetary union.

(References: Council Decision 2000/33/EC abrogating the decision on the existence of an excessive deficit in Greece: OJ L 12, 18.1.2000; Council opinion on the updated convergence programme of Greece (1999-2002): OJ C 60, 2.3.2000)

The Greek government informs the Commission that it wants to join the third stage of economic and monetary union. The Commission and the European Central Bank will examine the progress made by Greece in fulfilling the convergence criteria set out in the Treaty in good time. If the assessment is positive, the Commission will make a proposal to the Council (Article 122(2) of the EC Treaty).

- EU Bulletin 3  - 2000,  point 1.3.8.

23./24.3.2000

“The opportunity provided by growth must be used to pursue fiscal consolidation more actively and to improve the quality and sustainability of public finances.”

“ The European Council requests the Council and the Commission, using the existing procedures, to present a report by spring 2001 assessing the contribution of public finances to growth and employment, and assessing, on the basis of comparable data and indicators, whether adequate concrete measures are being taken in order to:
·  alleviate the tax pressure on labour and especially on the relatively unskilled and low-paid, improve the employment and training incentive effects of tax and benefit systems;
·  redirect public expenditure towards increasing the relative importance of capital accumulation - both physical and human - and support research and development, innovation and information technologies;
·  ensure the long-term sustainability of public finances, examining the different dimensions involved, including the impact of ageing populations, in the light of the report to be prepared by the High-Level Working Party on Social Protection

- EU Bulletin 3  - 2000,  point  I.11. 22.

29.3.2000

The Economic and Social Committee adopts an own-initiative opinion on the Commission document 'The EU economy: 1999 review'.

(Reference: Commission document 'The EU economy: 1999 review', published in European Economy No 69/1999)

- EU Bulletin 3  - 2000,  point 1.3.3.
 

3.5.2000

The Commission adopts the 'Convergence 2000' report in accordance with Article 122(2) of the Treaty.

The purpose of this report to the Council and Parliament  is to assess the progress made by the two Member States (Greece and Sweden) which, by Council decision of 3 May 1998, were granted a derogation on the ground that they did not fulfil the necessary conditions for the adoption of the single currency on 1 January 1999.

The Commission recapitulates the main findings about the progress achieved, for each of the two Member States, on the basis of the various criteria mentioned in Article 121(1) of the EC Treaty and indicates that this assessment leads it to conclude that Greece has achieved a high degree of sustainable convergence, justifying the abrogation with effect from 1 January 2001 of its derogation. It notes, on the other hand, that there are no grounds for changing the current status of Sweden.
(document COM(2000) 277)

- EU Bulletin 5  - 2000,  point 1.3.4.
 

3.5.2000

In accordance with Article 122(2) of the Treaty, the Commission adopts a proposal for a Council decision aiming the adoption by Greece of the single currency on 1 January 2001.

On the basis of the report of the European Central Bank (adopted on 27 April 2000) and of its own 2000 convergence report, the Commission has concluded that Greece fulfils the necessary conditions for the adoption of the single currency and is proposing a Council decision abrogating Greece's derogation from its obligations regarding the achievement of economic and monetary union. The derogation would be abrogated with effect from 1 January 2001.
The report (document COM(2000) 274) was endorsed by the European Parliament on 18 May.

- EU Bulletin 5  - 2000,  point 1.3.5.
 

8.5.2000

The Council adopts a regulation concerning a capital increase of the European Central Bank (ECB).

References: Regulation (EC) No 1009/2000

European Central Bank recommendation: OJ C 411, 31.12.1998
Parliament opinion: OJ C 219, 30.7.1999
Commission opinion: 8 March 2000

The regulation authorises the ECB's Governing Council, where it considers it necessary, to increase the Bank's capital by an amount of up to EUR 5 billion.

- EU Bulletin 5 - 2000, point 1.3.8.
OJ L 115, 16.5.2000
 

8.5.2000

The Council adopts a regulation concerning further calls of foreign reserve assets by the European Central Bank.

References: Regulation (EC) No 1010/2000

European Central Bank recommendation: OJ C 269, 23.9.1999
Parliament opinion: Bull. 3-2000,
Commission opinion: 8 March 2000

The regulation authorises the ECB, in case of need, to effect further calls of foreign reserve assets from the national central banks beyond the limit set in Article 30(1) of the Statute of the European System of Central Banks and of the European Central Bank, up to an amount equivalent to an additional EUR 50 billion.

- EU Bulletin 5 - 2000,  point 1.3.9.
OJ L 115, 16.5.2000
 

29.5.2000

The Council adopts formally a framework decision on increasing protection by criminal penalties and other sanctions against counterfeiting in connection with the introduction of the euro

References: Council Framework Decision 2000/383/JHA

Initiative of the Federal Republic of Germany: OJ C 322, 10.11.1999; Bull. 11-1999, point 1.6.8
Parliament opinion: Bull. 1/2-2000, point 1.4.10
Council agreement: Bull. 3-2000, point 1.4.11 

- EU Bulletin 5  - 2000,  point 1.3.7. + 1.4.13. 
OJ L 140, 14.6.2000
 

30.5.2000

The Commission adopts a communication to Parliament, the Council and the European Central Bank on secondary legislation relating to the euro and Greece.

It contains

1. a proposal for a Council regulation amending Regulation (EC) No 974/98 on the introduction of the euro,
2. a proposal for a Council regulation amending Regulation (EC) No 1103/97 on certain provisions relating to the introduction of the euro, and,
3.  a proposal for a Council regulation amending Regulation (EC) No 2866/98 on the conversion rates between the euro and the currencies of the Member States adopting the euro.

The date envisaged for the adoption of the euro in Greece falls within the transitional period (1 January 1999 to 31 December 2001), during which the former currencies of the participating Member States are subunits of the euro. Euro banknotes and coins will be introduced as from 1 January 2002.

The first two Council regulations (Regulation (EC) No 974/98 and Regulation (EC) No 1103/97) need to be amended for the sole purpose of integrating Greece and its currency into the existing legal framework.

The proposal for amending Regulation (EC) No 2866/98 provides that the conversion rate for the drachma is the present central rate of the drachma in the exchange rate mechanism (EUR 1 = GRD 340.750). As for the other currencies, the rate is determined to six significant figures. (see provisions in Regulation (EC) No 1103/97).
(document COM(2000) 346)

- EU Bulletin 5  - 2000,  point 1.3.6.
 

5.6.2000

On the basis of a recommendation of the Commission (document COM(2000) 214), the Council approves a recommendation on the broad guidelines of the economic policies of the Member States and the Community (2000) for the European Council.

References:
Conclusions of the Lisbon European Council
Parliament resolution: Bull. 5-2000.

The European Council welcome the broad economic policy guidelines during its meeting in Feira (19/20.6.)Finally, on 19 June, the Council adopts the broad guidelines in accordance with Article 99(2) of the EC Treaty.

They are designed to maintain growth and stability-oriented macroeconomic policies, increase the growth potential of the Union, improve the quality and sustainability of public finances and move forward with far-reaching and comprehensive reforms of product, capital and labour markets. The guidelines build on the strategy defined by the Lisbon European Council, thereby helping to meet, over time, the challenges of restoring full employment, promoting the transition to a knowledge-based economy, preparing for the consequences of ageing populations and improving social cohesion.

- EU Bulletin 6 - 2000, point 1.3.2.
 

5.6.2000

With a view to ensuring the successful introduction of euro coins in 2002, the Council emphasises the importance of adjusting coin-operated machines in good time. With a view to facilitating that adjustment, euro-area Member States may lend euro coins and/or euro tokens to the companies concerned.

- EU Bulletin 6 - 2000, point 1.3.7.
 

5.6.2000

The Council reaffirms the importance for the proper functioning of EMU and the single market of effective surveillance and coordination of economic policies, which require a comprehensive information system providing policy-makers with the data necessary to reach their decisions. The Council therefore urged Member States to put greater effort into the production of those national series that are required for the timely compilation of reliable statistics for the euro zone.

- EU Bulletin 6 - 2000, point 1.3.11.
 

5.6.2000

The Council adopts conclusions concerning the reform of the European Investment Fund.

References: Council Decision 94/375/EC on Community membership of the European Investment Fund: OJ L 173, 7.7.1994;
Conclusions of the Lisbon European Council: Bull. 3-2000;

The Council approves the broad lines of the reform proposals presented by the European Investment Bank with a view to rationalising the activities of the EIB and the EIF, improving synergies and avoiding overlaps, in particular in the field of venture capital. The purpose of the reform is to concentrate all the risk-capital activities of the European Investment Bank and the European Investment Fund within the Fund. The tripartite structure of the fund will be maintained but the European Investment Bank will become the majority shareholder.

In line with the conclusions of the Lisbon European Council, the reform was approved by the general meeting of the European Investment Fund on 20 June.

- EU Bulletin 6 - 2000, point 1.3.10. + 1.10.25.
 

19.6.2000

The Council takes the decision (2000/427/EC) in accordance with Article 122(2) of the EC Treaty on the adoption by Greece of the single currency on 1.1.2001.

References: Greece's application to join the third stage of EMU

Commission proposal: COM(2000) 274
Parliament opinion: Bull. 5-2000,
European Central Bank report: 28 April 2000

Noting that Greece fulfils the convergence criteria laid down by Article 121(1) of the EC Treaty, the Council abrogated the derogation concerning that country in order to allow for the introduction of the euro as the single currency with effect from 1 January 2001.

- EU Bulletin 6 - 2000, point I 1.3.4.
OJ L 167, 7.7.2000
 

19.6.2000

The Council amends the Regulation (EC) No 2866/98 on the conversion rates between the euro and the currencies of the Member States adopting the euro by fixing the conversion rate for the Greek ‘Drachmi’.

> Regulation (EC) 1478/2000

References: Commission proposal: COM(2000) 346; Bull. 5-2000,
Endorsed by Parliament on 16 June.
Endorsed by the European Central Bank on 16 June;  OJ C 177, 27.6.2000

The conversion rate is fixerd to : EUR 1 = GRD 340.750 with effect from 1 January 2001.

- EU Bulletin 6 - 2000, point 1.3.5.
OJ L 167, 7.7.2000
 

19.6.2000

The Council agrees on a proposal (doc. COM(2000) 346) from the Commission to amend

- the Regulation (EC) No 974/98 on the introduction of the euro, and,
- the Regulation (EC) No 1103/97 laying down certain measures concerning the introduction of the euro.

References: Regulations to be amended:
Council Regulation (EC) No 1103/97: OJ L 162, 19.6.1997;

Council Regulation (EC) No 974/98: OJ L 139, 11.5.1998; Commission proposals: COM(2000) 346; Bull. 5-2000;
Endorsed by Parliament on 16 June;
Endorsed by the European Central Bank on 16 June; OJ C 177, 27.6.2000.

- EU Bulletin 6 - 2000, point 1.3.6.
 

19./20.6.2000

European Council chaired by Mr Guterres  in Santa Maria da Feira (Portugal)

In the Feira meeting, among others, a number of economic, financial and monetary issues were examined, leading in particular to endorsement of the broad economic policy guidelines for the Member States and the Community for 2000, the tax package relating to taxation of savings and the recent agreement on the principles and guidelines for the tax package; in addition, Greece's entry into the euro zone was ratified.

Furthermore, the European Council invites the Ecofin Council to implement its conclusions on practical steps with view to enhance the coordinating role of the broad economic policy guidelines in close cooperation with the other relevant Council formations and by addressing the link between structural and macroeconomic policies. Finally, the macroeconomic dialogue should also be improved.

- EU Bulletin 6 - 2000, point I.1. + I.33.
 

28.6.2000

The Commission delivers an opinion to the Council on the composition and the statutes of the Economic Policy Committee.

Reference: Council Decision 74/122/EEC setting up an Economic Policy Committee: OJ L 63, 5.3.1974
Overall, the Commission does not agree with the draft decision submitted to it by the Council in accordance with Article 209 of the EC Treaty (former Article 153). It recommends that the Council does not adopt it.

- EU Bulletin 6 - 2000, point 1.3.8.
 

6.7.2000

The Parliament adopts a resolution on the Commission’s communications strategy in the last phases of the completion of EMU.

Reference: Commission communication: COM(2000) 57;

Parliament welcomes the Commission communication and, among others, considers that the campaign should specifically target women, children and young people and that special attention should continue to be devoted to preparing certain categories of the population at risk of being excluded from access to information, such as the elderly, blind people, the handicapped and the illiterate. Parliament calls for EUR 38 million to be set aside in Community funding for euro information campaigns in the year 2001. It also makes specific recommendations for the campaign to be directed at schools in particular. Parliament asks the Commission to accelerate its action with a view to preventing high bank charges for cross-border financial transfers and euro conversions, and to guarantee transparency.

- EU Bulletin 7/8 - 2000, point 1.3.3.

6.7.2000

The Parliament adopts a resolution on the 1999 annual report of the European Central Bank.

The EP congratulated the ECB on the results achieved, namely that the rate of inflation in the euro area has already fallen to an all-time low and interest rates continue to be low. It also welcomed the improvement in the Bank's information policy and urged it to adopt the two further transparency measures supported by the European Parliament, namely the publication of minutes as soon as possible after each meeting, and the publication of a regular report on the economic situation in each euro-area Member State.

- EU Bulletin 7/8 - 2000, point 1.3.4.

12.7.2000

The Commission adopts a communication (COM(2000) 443)  to the Parliament, the Council, the Economic and Social Committee, the Committee of the Regions and the European Central Bank on “Practical aspects of the euro: state of play and tasks ahead”.

Reference: Commission communication 2002: Nothing but the euro - Communications strategy in the last phases of the completion of EMU: COM(2000) 57; Bull. 1/2-2000;

At the end of the first half of the transitional period, the Commission provides an overview of the preparations undertaken so far and those still required for the final changeover to the euro at the beginning of 2002. Two challenges will have to be met: changing all currency amounts from national subdivisions to the euro, and withdrawing national banknotes and coins and introducing new ones denominated in euro.

- EU Bulletin 7/8 - 2000, point 1.3.1.
 

26.7.2000

The Commission adopts a proposal (COM(2000) 492) for a Council regulation on the protection of the euro against counterfeiting.

References: Commission communication on measures to combat the counterfeiting of euro notes and coins: COM(1998) 474;

Council Framework Decision 2000/383/JHA on increasing protection by criminal penalties and other sanctions against counterfeiting in connection with the introduction of the euro:

OJ L 140, 14.6.2000;

The aim of this proposal for a regulation, which complements the Council Framework Decision 2000/383/JHA on harmonising criminal penalties in the Member States, is to effectively combat counterfeiting of the euro. The proposed measures should enter into force on 1 January 2001, i.e. well before the introduction of euro notes and coins.

- EU Bulletin 7/8 - 2000, point 1.7.13.

20.9.2000

The Commission adopts a communication to the Council and the Parliament 'Bringing our needs and responsibilities together - Integrating environmental issues with economic policy'. (document COM(2000) 576)

In this communication, drawn up in response to a request by the European Council of Köln in June 1999, the Commission sets out a long-term Community strategy for the progressive integration of environmental issues with economic policy, using existing instruments.

- EU Bulletin 9 - 2000, point 1.3.2.
 

21.9.2000

The Committee states, among other related aspects, that the European Central Bank must practise greater transparency in the presentation of its decisions, thereby making them understandable to the markets, and asks for a harmonised European framework for the financial markets.

- EU Bulletin 9 - 2000, point 1.3.3.
 

27.9.2000

The Commission adopts a communication on structural indicators. (document COM(2000) 594)

In response to requests by the European Councils of Lisboa and Feira, the Commission is proposing 27 indicators for use in the synthesis report measuring progress towards implementation of the Lisbon strategy in the fields of employment, innovation and research, economic reform and social cohesion which it is to send to the Stockholm European Council in spring 2001.

- EU Bulletin 9 - 2000, point 1.3.1.
 

29.9.2000

The Council decides about the composition and the statutes of the Economic Policy Committee.

Reference: Council Decision 74/122/EEC setting up an Economic Policy Committee: OJ L 63, 5.3.1974
Commission opinion: Bull. 6-2000;

The purpose is to update and adapt the statutes of the Economic Policy Committee in the light of developments since 1974, in particular the entry into force of Stage III of economic and monetary union.

- EU Bulletin 9 - 2000, point 1.3.4.
 

11.10.2000

The Commission adopts a recommendation on measures to facilitate the preparation of economic agents for the changeover to the euro.

Reference: Commission communication 'Practical aspects of the euro: state of play and tasks ahead': COM(2000) 443;

In the light of surveys and studies pointing to some delay in the preparation of economic agents and individuals for the new currency, the Commission recommends a raft of measures likely to improve the situation and to permit flexible and smooth introduction of the euro. It does not stipulate any new threshold date but attempts to galvanise efforts around a key period, viz. the third quarter of 2001.

- EU Bulletin 10 - 2000, point 1.3.2.
 

17.10.2000

The Council adopts conclusions on structural indicators concerning employment and social cohesion.

References: Conclusions of the Lisbon European Council; Conclusions of the Feira European Council;
Commission communication: COM(2000) 594;

Recalling that the existence of appropriate indicators was essential to the effective, transparent follow-up to the European employment strategy, the Council noted with satisfaction the Commission communication on structural indicators and stressed the need for consistency between the various types of indicator. It called on the high-level working party on social protection and the Employment Committee to continue coordinating their work in this area.

- EU Bulletin 10 - 2000, point 1.3.1.
 

27.11.2000

The Council adopts two regulations;

> (EC) No 2596/2000 amending Regulation (EC) No 974/98 on the introduction of the euro;

> (EC) No 2595/2000 amending Regulation (EC) No 1103/97 on certain provisions relating to the introduction of the euro.

These regulations were necessary in order to incorporate Greece and its currency into the existing legal framework of the euro from 1 January 2001.

- EU Bulletin 11 - 2000, point 1.3.4.
OJ L 300, 29.11.2000
 

7.-9.12.2000

The European Council chaired by Mr. Chirac in Nice concludes, among others:

It broadly agrees with the initial findings in the interim report by the Committee chaired by Mr Lamfalussy on the regulation of European securities markets and the third Commission report on the action plan for financial services. It invites the Council and the Commission to report back to it on this subject at Stockholm in March 2001 on the basis of the Committee's final report.

- EU Bulletin 12 - 2000, point I.16.

The European Council welcomes the improvements made to the workings of the Eurogroup and its visibility. The Commission's scoreboard, presented regularly within the Eurogroup, makes it possible to chart progress made in preparing for the introduction of euro coins and notes in the different countries.

It would like preparatory work to be speeded up and proposes some common dates to structure information on the subject in the euro area during 2001: the week of 9 May as part of the Europe days; presentation of euro coins and notes in September; making euro coins available in mid-December to individuals in those Member States choosing to do so; and introduction of euro coins and notes at midnight on 31 December. An effective system to protect the euro against counterfeiting must be adopted as soon as possible in 2001.

- EU Bulletin 12 - 2000, point I.17.
 

14.12.2000

The Council adopts conclusions on euro bank notes and coins.

In order to facilitate the recognition of genuine euro banknotes and coins as well as the various denominations and values, the Council emphasised the need for information campaigns starting in September 2001. Similarly, to facilitate the adjustment of coin-operated machines, it repeated its request to the Member States to lend euro coins and tokens to the companies concerned.

- EU Bulletin 12 - 2000, point 1.3.3
 

21.12.2000

The Commission adopts a communication (COM(2000) 846) on 'The contribution of public finances to growth and employment: improving quality and sustainability'.

Reference: Conclusions of the Lisbon European Council;

Following the request by the Lisbon European Council, the report provides an overview of EU public finances at the start of the 21st century and examines the complex interactions with economic growth and employment. Analysing the need for sound public finances as a condition for growth and employment, it assesses recent initiatives to make compulsory tax and benefit systems more employment-friendly with a view to seeing whether they improve the incentives to work, save and invest. It then looks at the role of public finances in promoting a knowledge-driven economy and at the long-term sustainability of public finances in the light of the impact of ageing populations on pension and health care systems.

- EU Bulletin 12 - 2000, point 1.3.2.