Economic and Monetary Union (EMU)

EU Enlargement and the Euro in a Nutshell

Ten new countries - Cyprus, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia and Slovenia - will join the EU on 1 May 2004. These countries are called acceding countries.
In economic terms, the acceding countries are small compared with the euro area (currently around 6% of the euro area's GDP). However, with a total of 75 million inhabitants, they will increase the euro area's current population of 305 million by approximately 25%.
Acceding countries will adopt the euro only when they fulfil certain economic criteria, namely, a high degree of price stability, a sound fiscal situation, stable exchange rates and converged long-term interest rates. The current euro area members had to fulfil the same criteria.
The European Central Bank (ECB) contributes to the decision-making on new euro area members by preparing convergence reports in which it analyses whether the countries concerned fulfil the necessary conditions for adoption of the euro.
The Governors of the acceding country central banks attend meetings of the General Council of the ECB as observers. However, they will not join the main decision-making body the Governing Council - until they adopt the euro. The acceding country central banks' experts also have observer status on the committees of the European System of Central Banks.
In anticipation of the enlargement of the European Union on 1 May 2004, citizens of Cyprus, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia and Slovenia may apply for vacancies at the ECB.

To access the Frequently Asked Questions on this topic, please click here PDF file: Link in a new window (146 KB).

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