The Euro as 'Parallel Currency' 1999-2002

Although the third stage of EMU began on 1 January 1999, euro-denominated notes and coins will not start circulating until 2002; and national currency may continue circulating until July of that year. As a result, the euro may meanwhile be described as a parallel currency, which can be used on a no prohibition, no compulsion basis. This study examines the consequences for firms, public authorities and citizens; and tghe preparations for introducing the euro notes and coins. It also looks at the impact of the euro on the 'out' countries of the EU, and in the wider world.