Volledig verslag van de vergaderingen

Maandag 14 februari 2022 - Straatsburg

16. Plechtige vergadering - Het twintigjarig bestaan van de euro

  President. – The next item is the debate on the 20th anniversary of the euro.

I would invite you, dear colleagues, to watch a short video together.

(A video on the history of the euro was shown in the Chamber.)

President Lagarde, Commissioner Gentiloni, dear colleagues, 20 years since it was first introduced, the euro is the currency of over 340 million people in 19 EU Member States. A political, financial, social project that brought people together, that challenged perceptions and cemented what Europe is all about.

The biggest monetary changeover in history created beneficial impacts on people, businesses and governments alike, with 78% of respondents of the latest Eurobarometer survey stating that having the euro is a good thing for the European Union.

The single currency also unquestionably propelled Europe forward, as a key player in the European and the global economy. The stability of our currency makes it attractive for businesses around the world to trade with the EU. In fact, more than half of the EU’s exports and almost 40% of all global cross—border payments use the euro. Sixty other countries and territories around the world have chosen to use the euro as their currency or to peg their own currency to it. The euro is truly one of the greatest achievements of the European Union.

A single currency to complete the single market, guaranteeing long—term prosperity, growth, competitiveness, protection from exchange-rate volatility, and price stability. An Economic and Monetary Union which ensures the confidence of our citizens. This is what the euro is all about. It is about European integration, unity, stability, identity and solidarity, and it is right here in our pockets as a tangible success story.

When there is a vision for the future of Europe and the political willingness to match it, anything is possible. And we have also seen this when the euro was faced with great economic challenges.

The global financial and sovereign debt crises led to a reform of the governance structure of the European Monetary Union where we, the European Parliament, played an important role as co—legislators. And together we acted swiftly to support our Member States and stabilise our economies.

Two years ago, we again joined forces to provide flexible solutions to our Member States, as we faced the economic challenges of the COVID—19 pandemic. We took bold decisions and adopted an unprecedented EUR 750 billion recovery plan – Next Generation EU – which is already supporting our economic recovery. This would not have been possible for the EU without the euro.

The euro is resilient. Nevertheless, challenges continue to lie ahead. We must ensure that the euro is fit for future generations. Generations who will know the euro as their only currency. And for this, the European Union must be at the forefront of green and digital transitions.

With over half of green bond issuance denominated in euro, and with our plan to digitalise our economies, including by launching the digital euro, we are on the right track. We must continue on this trajectory.

By reinforcing the international role of the euro we can contribute to a resilient EU banking sector and international financial system while strengthening the EU’s open strategic autonomy.

With its credibility and cemented foundations, the euro will continue to grow and we will remain united. Ultimately, we should never lose sight of what this project is all about. Why it started, how it got us here and where it can take us. So here is to the next 20 years.

  Christine Lagarde, Présidente de la Banque centrale européenne. – Madame la Présidente du Parlement européen, Madame Metsola, Monsieur le Commissaire à l’économie, Monsieur Gentiloni, honorables membres du Parlement européen, c’est un plaisir pour moi d’être ici, à Strasbourg, à l’occasion du vingtième anniversaire de l’euro, que nous célébrons. C’est aussi un plaisir de voir que, lorsque l’euro a été lancé, c’était une femme qui était aussi à la présidence et que, finalement, ceux qui auraient oublié les vingt années entre les deux ont sans doute le sentiment que le Parlement européen est toujours présidé par une femme.

So, the introduction of the euro banknotes and coins in 2002 was a milestone for European history, as it put – as Nicole Fontaine said – a tangible sign of European integration in the pocket and in the wallets of all Europeans. There were twelve countries only to begin with, and seven more to join later on.

Sharing a currency is more than just simply using the same measure, the same means of payment; it is part of a common endeavour. This feeling of shared identity is actually recognised by our fellow citizens. When you ask them, when you ask the European citizens what the European Union means to them, what comes second is actually the euro amongst the list of things that they most often think of in terms of the European Union.

The euro has simplified the lives of many Europeans – those who study, those who travel, those who conduct business. It has improved the efficiency of conducting business throughout an enlarged economic zone and I’m going to mention to you two numbers. From 1990 to 2002, trade between the soon—to—be 19 countries of the euro area increased by less than 5% – 5% more trade. If you look at the period since the euro has been introduced, trade between those same nations did not increase by 5% but by 200%.

Now, of course not all of it is attributable to the euro, but the fact that the exchange rate was no longer an issue that was to be discussed, put into contractual terms between parties, certainly had a role to play.

The second element that I want to bring to your attention as well: as you all know, the euro is the second international currency in the world after the dollar. What maybe not all of us know so well is that in 2021 about half of total green bond issuance around the world was denominated in euros – not necessarily issued from the euro area or Europe, but around the world.

So as you mentioned, Madam President, last year we launched the digital euro project. We will investigate how a digital euro could offer a convenient, cost—free means of payment, allowing people to pay anywhere in the euro area with risk—free digital money – for example, when making payments online, which preclude the use of cash.

I just would like to add that, of course, this digital euro will not replace cash but it will complement cash. That is one of the reasons why we launched the process of redesigning our banknotes. The redesign is part of a long—term development process to ensure that the next generation of euro banknotes will continue to be secure, accepted and an efficient means of payment. We will keep Parliament informed throughout the process, and we will seek input from citizens, through your intermediary, on the theme and design of the new banknotes before making our final decision in 2024.

Thereafter, the rollout of the new banknotes will be planned. The redesign of our banknotes is a unique opportunity to make them more relatable to Europeans of all ages and backgrounds, thereby offering a new symbol of European integration.

For more than 20 years, euro banknotes and coins have circulated smoothly. They are a tangible testament to the euro’s success. The cash in our pockets reminds us that, despite our diversity, we share a common endeavour that goes way beyond our borders.

  Paolo Gentiloni, Member of the Commission. – Madam President, Madam President of the European Central Bank, honourable Members, we are celebrating today one of the most tangible symbols of European integration and prosperity.

Since its launch, the single currency has come a long way. During this time, the euro area has grown from 12 countries to 19, and it will expand further in the near future. Croatia and Bulgaria are advancing towards this target.

The euro has delivered on its promises: the promise of a strong and stable currency underpinning the cohesion of our economies; the promise to lower barriers for businesses and make it cheaper to borrow and invest; the promise to make our economies more resilient by improving the conditions for fully exploiting our single market, as President Lagarde just said.

During the pandemic, having a single currency has been instrumental in coordinating responses across Europe and in avoiding further economic and social divergences. And today, as you remember, President Metsola, four in five citizens in the euro area think that the euro is a good thing – the highest level of support since its introduction.

With Next Generation EU, the Union will become one of the major debt issuers worldwide. This will offer benefits in terms of stability and that of the European bond market, by providing a euro-denominated, safe asset, covering all maturities. And we see a huge appetite for this.

As of today, we have already issued EUR 78.5 billion in Next Generation EU bonds and every issuance was heavily oversubscribed. By 2026, we will have issued close to EUR 1 trillion, providing an opportunity to establish global reference for international investors seeking to invest in euro-denominated assets. And with the issuance of up to EUR 250 billion in green bonds, we will also become a world leader in the international green bond market.

So today, we are celebrating, but this opportunity should also be a reminder of the need to complete and deepen our monetary union. This means completing the Banking Union and making further steps on the Capital Markets Union. It also means learning the right lesson from our coordinated fiscal response to the crisis and from the unprecedented tools we have put in place.

In today’s multipolar economic system, there is scope to further increase the role of the euro. In today’s geopolitical tension and uncertainty, there is scope to advance in the process of our strategic autonomy. The same political determination of those who designed and made possible the euro’s introduction, overcoming divergent views and interests, is needed now to build a stronger Union.

  Irene Tinagli, Chair the ECON Committee. – Madam President, 20 years is an important anniversary for anyone, but I think that if we look back at all that the euro has been through, well, then we realise how special this anniversary is.

At first, the introduction of the single currency in Europe seemed like a risky bet. Many feared it was too early. Others thought that there were other priorities. There was some fear about it. And later, after the financial crisis, many thought that the euro was at risk and that a restoration of national currencies was upcoming. Well, it turned out quite differently, and not only is the euro still here, but it’s stronger than ever. Other Member States have decided to adopt it, and others will soon be able to do so.

The truth is that the euro has been the key element of the last 20 years of the Union. It has complemented the single market. It has made it easier to trade and travel and live across different countries in the European Union. It has boosted European value chains, strengthening our economies. It has been the prerequisite for preserving the European monetary sovereignty in a globalised world. It has represented the cornerstone of a peaceful Union and a global actor after the end of the Cold War and German reunification. Without the euro, I’m quite sure we would be telling quite different stories.

The success of the euro is not a matter of chance. Its strength, its value and its very existence has constantly been guaranteed and preserved by the European Central Bank. Over the past 20 years, the ECB has been the true guardian of the Union’s currency, and I’m confident that it will continue to play its role even in the coming years of big innovations and changes. We’ve heard about some of those.

But the euro’s success was also the result of a strong political will. The euro was the best investment that we could have made to ensure a stable environment for the new generations. This awareness was the fundamental element that allowed us to overcome even the most difficult moments, and we’ve heard just a few minutes ago about some of those moments.

The euro has definitely brought to us many successes, but we have to also to acknowledge and to recognise that it has not delivered all the gains that it could have delivered in all the Member States and to all the European citizens. And this is partly due to some national issues and partly the result of the fact that the Economic and Monetary Union is still incomplete – as Commissioner Gentiloni just reminded us.

So, the way ahead, therefore, is to identify the changes that are necessary to make our monetary union work for the benefit of everybody. The experience of the euro shows that even the riskiest bets, if supported by political will, can be successful and can mark a great leap forward in the history of our Union.