The Challenges of Creating a Common Currency
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How Foreign Exchange Swaps Work

Top Ten Traded Currencies of the World

The Euro

Even though it was introduced in 1999, the euro became the second highest-traded currency in the world with a 39 percent share in daily transactions. Introducing a new common currency and a central bank that oversees this currency was not an easy task.

Imagine the German mark, the French franc, the Italian lira, and so on and how much organization would be required to get rid of them and replace them with the euro. Since the early 1960s, the central banks of the European Economic Community (EEC) had been trying to coordinate their monetary policies and promote price stability.

The Maastricht Treaty of 1992 put a long-contemplated idea on paper: a common currency. In 1998, the European Central Bank was established. The euro was introduced in 1999.

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