EMU: the first two years

The Commission has published a report on the experience of EMU so far. The report provides a factual overview of events in four important areas. The first part presents an assessment of the macro-economic performance of the euro-area economy during the past two years. It also discusses achievements in the area of monetary and fiscal policy and issues related to economic policy co-ordination. The second part describes the external development of the euro, including its role as an international currency. The study then goes on to highlight the important changes which have taken place in euro-area financial markets. Indeed, financial integration will be the single most important factor fostering economic growth in the euro area. Finally, the note takes stock of the preparations for completing the changeover to the euro. It describes the procedures for the introduction of the notes and coins and sets out the remaining challenges.