Why are national currencies
used to a limited extent only and why do EAEU countries continue to widely use the dollar and the euro in their mutual payments?
He also stressed the need for accelerating cooperation between the two countries' banks, including in currency swaps and using the national currencies
Russian and Indian central bank officials have agreed to increase the use of national currencies
as part of increasing trade between the nations.
Russian President Dmitry Medvedev, also as expected, told the SCO summit that the Shanghai group member states should increase the share of their national currencies
in mutual settlements to reduce dependence on the dollar and improve the health of the global financial system.
This has taken place most notably in Europe where the euro has replaced national currencies
Other members of the European Union, including the United Kingdom, Denmark, and Sweden, have opted to keep their national currencies
Whereas the distribution of Euro notes and coins was spread over three months, national currencies
were returned for the most part in a matter of weeks, causing serious bottlenecks at bank and cash transport company warehouses and giving rise to very long delays in sorting and counting.
Will I still be able to use the national currencies
after January 1, 2002?
An interim period from January 1st to February 28th 2002 will allow the use of both the Euro and old national currencies
in all EMU countries.
But the "golden" name and the instant popularity of the new coin serve as a reminder of the valuable role that real gold has played throughout the centuries -- and still plays today -- in providing a stable foundation for national currencies
Between now and January 1, 2002, referred to as the "transitional period," these euro zone nations will be busy implementing the legal rules devised by the EU concerning the changeover from their national currencies
to the new euro.
Finance ministers and central bankers from most of the 11 participating EU nations will meet in Brussels today to freeze the relative value of their national currencies
- a move to keep them from fluctuating with each country's financial fortunes.
The High Street banks, Thomas Cook and American Express plan to issue euro travellers' cheques in the new year when the single currency starts working, alongside the 11 national currencies
, but only in commercial dealings.
Effective July 1, 2002, the old national currencies
of participating countries will cease to be legal tender.
On top of the billions that will be spent to address the Year 2000 problem, European businesses and governments will be forced to allocate billions of dollars to adjust their systems to run two different currencies - their own national currencies
and the euro - until the phase out of their national currencies
, scheduled for 2002.