The inquiry into the global significance of the euro, which is the second most important currency in the international financial system after the US dollar (hereinafter, the dollar), should be treated as a priority in efforts to strengthen the EU’s strategic autonomy. The main obstacles...

The euro was launched, on 1 January 1999, as a common currency for members of the European Union that complied with the Maastricht Treaty. The Maastricht Treaty calls for the coordination of major macroeconomic policies, such as inflation, budget balance, public debt, and long-term interest...

he configurative comparative method, Dynamic Pattern Synthesis (DPS) is used to replicate previous research into the impact of the euro on economic convergence. The DPS method ensures a forensic examination of the diverse variable patterns that influence cluster memberships. As with previous...

As part of the Eurosystem’s annual banknote production planning, the national central banks draw up forecasts estimating the volumes of national-issued banknotes in circulation for the three years ahead. As at the end of 2021, more than 80 per cent of euro banknotes in circulation (cumulated...

This paper examines the responses of foreign exchange rates to the Federal Reserve's large-scale asset purchases (LSAPs) and forward guidance (FWG) from 2009 to 2022 using local projections. I confirm heterogeneous responses of examined foreign exchange rates to unconventional shocks, varying by...

The digital euro project will reach an important milestone this year when the preparation phase ends and the governing council of the ECB will decide whether to enter the next phase before the launch phase. This article provides an overview on how a digital euro is intended to work. An...

Mit der Abschaffung der D-Mark und der Einführung des Euro waren Hoffnungen verbunden, aber auch Befürchtungen, dass die neue Währung nicht so stabil wie die D-Mark sein könnte. Die D-Mark gehörte international über 50 Jahre zu den zwei Währungen mit den niedrigsten Inflationsraten. In...

This documentation paper provides background information and basic descriptive statistics for a representative survey of the French, German, and Italian populations, focusing on attitudes towards and the demand for a digital euro conducted on our behalf by Dynata in November and December 2023....

We document that compared to all other investor groups investment funds exhibit a distinctly procyclical behavior when financial-market beliefs about the probability of a euro-related, institutional rare disaster spike. In response to such euro disaster risk shocks, investment funds shed...

The digital euro project will reach an important milestone this year when the preparation phase ends and the governing council of the ECB will decide whether to enter the next phase before the launch phase. This article provides an overview on how a digital euro is intended to work. An...

Mit der Abschaffung der D-Mark und der Einführung des Euro waren Hoffnungen verbunden, aber auch Befürchtungen, dass die neue Währung nicht so stabil wie die D-Mark sein könnte. Die D-Mark gehörte international über 50 Jahre zu den zwei Währungen mit den niedrigsten Inflationsraten. In...

We provide new evidence on the effects of adopting a common European currency on banks' profitability in the Central and Eastern Europe (CEE) region. We construct a panel of 1033 bank-year observations across 11 countries between 2006 and 2020. Our results suggest that the effect of the eurozone...

We document that compared to all other investor groups investment funds exhibit a distinctly procyclical behavior when financial-market beliefs about the probability of a euro-related, institutional rare disaster spike. In response to such euro disaster risk shocks, investment funds shed...

On 1 November 2023 a two-year preparation phase was launched to lay the groundwork for the potential issuance of a digital euro. The primary objectives during this phase include providing a draft digital euro scheme rulebook, selecting potential providers for the digital euro platform and...

On 1 November 2023 a two-year preparation phase was launched to lay the groundwork for the potential issuance of a digital euro. The primary objectives during this phase include providing a draft digital euro scheme rulebook, selecting potential providers for the digital euro platform and...

Regulation (EU) 2024/1257 on type-approval of motor vehicles and engines and of systems, components and separate technical units intended for such vehicles, with respect to their emissions and battery durability, also called Euro 7, will be applicable by the end of May 2028 for new heavy-duty...

This paper models the month-over-month change in euro-denominated (EUR) long-term interest rate swap yields. It shows that the change in the short-term interest rate has an economically and statistically significant effect on the change in EUR swap yields of different maturity tenors in the...

The paper discusses the functions and the potential of stablecoins as an innovative payment system: Stablecoins constitute a new payment object which can be used for a direct exchange on the infrastructures provided by blockchains and crypto exchanges. For the discussion of stablecoins It is...

This article provides a timely update on central bank digital currencies and the digital euro in the wake of the new executive orders, signed by US President Donald Trump, which establish a strategic Bitcoin reserve and a US Digital Asset Stockpile on the one hand, and ban central bank digital...

Through fiscal reaction functions, we investigate fiscal sustainability for five European country-group panels and check for a change in fiscal behaviour after countries adopted the euro as their currency. Using annual data for the period between 1990 and 2021, we identify evidence of average...

This report presents results from the 2024 wave of the OeNB Euro Survey in Central, Eastern and Southeastern Europe (CESEE). This survey has been conducted since 2007 in selected CESEE countries, essentially the countries that have not yet (or only recently) adopted the euro. It serves to...

The 2024 Euro money market study provides a comprehensive analysis of euro money markets using trade data from the 45 largest euro area banks. It examines five key segments of the euro money markets: (i) secured transactions - repurchase agreements (repos) and reverse repos, (ii) unsecured cash...

The 2024 Euro money market study provides a comprehensive analysis of euro money markets using trade data from the 45 largest euro area banks. It examines five key segments of the euro money markets: (i) secured transactions - repurchase agreements (repos) and reverse repos, (ii) unsecured cash...

In this paper we analyse potential impacts that dollar-denominated stablecoins could have on monetary policy. We also consider related questions about the introduction of the digital euro. Based on our findings, the adoption of stablecoins in Europe is unlikely to be large-scale without state...

In this paper we analyse potential impacts that dollar-denominated stablecoins could have on monetary policy. We also consider related questions about the introduction of the digital euro. Based on our findings, the adoption of stablecoins in Europe is unlikely to be large-scale without state...

This 24th annual review of the international role of the euro presents an overview of developments in the use of the euro by non-euro area residents in 2024. This was a year that saw continuing geopolitical tensions, decreases in policy interest rates and further declines in inflation in the...

The Economic and Monetary Union (EMU) is the framework of economic policies covering the European Union (EU) - including both euro area and non-euro area countries. The principal long-term aim of EMU is economic convergence for the EU over three successive stages. Once a country reaches the...

The Economic and Monetary Union (EMU) is the framework of economic policies covering the European Union (EU) - including both euro area and non-euro area countries. The principal long-term aim of EMU is economic convergence for the EU over three successive stages. Once a country reaches the...

This 24th annual review of the international role of the euro presents an overview of developments in the use of the euro by non-euro area residents in 2024. This was a year that saw continuing geopolitical tensions, decreases in policy interest rates and further declines in inflation in the...

Compared to 2020, the deficit in merchandise goods trade with China is 3.6 times higher for Germany in 2025 (annualised based on data from January to April 2025) and it has doubled for the Euro area. However, the nominal exchange rate of the Yuan against the Euro has hardly changed between 2020...

We examine spillovers from ECB's TLTROs on European countries outside the euro area. Using individual banks' balance sheet data, we find that TLTROs lowered funding and lending rates for foreign-owned subsidiaries, especially in emerging market economies. We also find an increase in...

This paper analyzes reserve adequacy measurement in Kosovo, where euro serves as the legal tender. The study adapts the IMF's Assessing Reserve Adequacy framework to Kosovo's unique monetary context, focusing on precautionary motives for holding reserves. The analysis reveals limited readily...

This paper examines the responses of foreign exchange rates to the Federal Reserve's large-scale asset purchases (LSAPs) and forward guidance (FWG) from 2009 to 2022 using local projections. I confirm heterogeneous responses of examined foreign exchange rates to unconventional shocks, varying by...