Economic and monetary union

Economic and monetary union (EMU) means greater coordination of the Member States’ economic policies at European level and a commitment to avoid excessive budgetary deficits (Stability and Growth Pact). It is an integral part of the work to complete the internal market. EMU led to the introduction of a single currency: the euro. Since 1 January 1999, the European Central Bank (ECB) has been responsible for steering European monetary policy. A system of economic governance has been put in place, as well as coordination and surveillance of economic policies and a mechanism to provide Member States facing serious economic problems with financial assistance.