What is the Future for Euro?
Euro is the official curreny of Euro Zone. The symbol for Euro is: €.
27 member states are coming under European Union. Out of which 17 countries have come up with Euro Zone and they are listed below:
- Austria
- Belgium
- Cyprus
- Estonia
- Finland
- France
- Germany
- Greece
- Ireland
- Italy
- Luxembourg
- Malta
- Netherlands
- Portugal
- Slovakia
- Slovenia
- Spain
The 6 countries Andorra, Kosovo, Montenegro, Monaco, San Marino, and the Vatican City are not part of EU members but they use Euro as their local currency.
The European Currency Unit (ECU) weightage as per 21-Sep-1989 through 31-Dec-1999 is given in the following table
| ISO | Currency | Value | Weight (%) |
| DEM | German Marks | 0.6242 | 31.915 |
| FRF | French Francs | 1.332 | 20.306 |
| GBP | British Pounds | 0.08784 | 12.452 |
| NLG | Dutch Guilders | 0.2198 | 9.87 |
| BEF | Belgian Francs | 3.301 | 8.183 |
| ITL | Italian Lira | 151.8 | 7.84 |
| ESP | Spanish Peseta | 6.885 | 4.138 |
| DKK | Danish Krones | 0.1976 | 2.653 |
| IEP | Irish Punts | 0.008552 | 1.086 |
| PTE | Portugese Escudos | 1.393 | 0.695 |
| GRD | Greek Drachmas | 1.44 | 0.437 |
| LUF | Luxembourg Francs | 0.13 | 0.322 |
Germany, France, UK, Netherlands and Belgium are contributing more than 80% to ECU. Currently the sovereign-debt crisis happening on Greece, Ireland, Portugal, Spain and Cyprus. The effect on Euro Zone currency from these problematic countries are less. The powerful nations such as Germany, France, UK, etc needs to give bail out package to the suffering nations to save the Euro. But if the problem may spread to other countries such as Itlay and Belgium, etc, then future of Euro would be a big question mark. If this problem continues, then powerful nations will dominate and make the suffering nations to go default. Hence powerful nations can keep their local curreny stable by ignoring Euro. The Euro Zone crisis would be very severe than people might think off. Since other countries such as USA, China, etc have heavily invested in Europe. Currently there is no surprise if Euro would not exist in the future!