1Euro

The euro, denoted by the ISO code EUR and the symbol €, is the official currency of the euro area, a group of European Union member states that have adopted the currency for most of their economic transactions. It was established to facilitate price transparency, enable easier cross-border trade, and deepen economic integration within the region. The euro began as an accounting currency in 1999 and entered physical circulation as coins and banknotes on January 1, 2002.

Monetary policy for the euro area is conducted by the Eurosystem, which comprises the European Central Bank (ECB) and the national central banks of euro area countries. The ECB sets monetary policy goals and instruments, while national central banks manage the operational aspects of policy and the production and distribution of euro banknotes. The ECB coordinates regulatory frameworks, exchange rate policy, and financial stability measures for the euro area.

The currency is subdivided into 100 cents. The common coin denominations are 1, 2, 5, 10, 20, and 50 cents, along with 1 and 2 euro coins. Banknotes are issued in denominations of 5, 10, 20, 50, 100, and 200 euros; a 500 euro note was issued in the past but production has ceased, and existing notes remain legal tender. In practice, euro coins and notes circulate widely across member states, often with national designs on the reverse side of the coins.

Outside the euro area, some states and territories use the euro either under formal agreements with the EU or through unilateral adoption. The euro also functions as a major global currency, widely traded in financial markets and used as a reserve asset by many countries.