QUESTIONS & ANSWERS

Can I be sure that the euro will buy as much as my money does now?

Yes, because the value of the things you buy, the wages you earn, your savings and your pension will not change. It is just that their value will be measured in a new currency. Remember that the temperature is the same whether your measure it in centigrade or fahrenheit.

But the value of money can be sharply reduced by rising prices. Who will take care of the euro and protect its value?

The euro will be in the very safe hands of a new European Central Bank whose top priority will be to make sure that prices rise as little as possible The euro will be a stable currency.

Also, you should not forget that price rises can be caused by devaluing currencies - the euro will take away that danger.

I could still lose money if banks and shops cheat in converting from my currency to the euro.

Don't worry. There will be plenty of price charts around to enable you to check on conversions. Simple electronic calculators will also do the job and the media is bound to be hunting for cheats. Fear of exposure will be a powerful deterrent to bad practices.

I am sure the changeover to the euro will cost money. How much will I have to pay?

It should not cost you much. Certain charges, such as changing computer software, are unavoidable, but investments on updating software have to be made anyway. Competition will deter many operators from trying to recover all their costs from the consumer. Spending on the changeover should really be seen as an investment which will be rewarded through the greater prosperity that the euro will bring in its wake. When we come to assess the real benefits in a few years time, we shall find that the gains for companies and individuals have far outweighed the costs.

When do I start earning my wages and paying my taxes in euros?

You will be paying taxes in euro in 2002. Most people will not start to be paid in euro until the beginning of that year.

When will I have to accept the euro from my employer, or as change in shops?

Euro notes and coins become legal tender from 1 January 2002 at the latest and you cannot be required to take it before then. But once euro are in circulation the old currency will be steadily withdrawn so there will be less and less of it available for paying wages and to be given as change.

I have an old relative who has never used a bank and keeps all his money hidden at home. When he changes it into euro is he going to be accused o dodging taxes?

The euro is not being introduced to catch people who have not paid their taxes. Procedures against crime and money laundering already exist and they have nothing to do with the euro. All your relative has to do is to go to the bank and change his old currency into euro. And just as in the past when new notes have been introduced, it will be quite a long time before his old notes can be refused.

Will people have to pay for changing their national money into euro?

No.

I often buy drinks and chocolates from vending machines. Will these machines accept the euro?

Yes, these machines will be adapted for euro notes and coins. There are wellover 3 million of them in the EU and preparations will be starting in good time.

Are you telling me that I have nothing to worry about?

Far less than you may think. The changeover is being very carefully planned and a lot of effort is being made, and will be made, to answer peoples' questions, settle their doubts and help them with any practical difficulties they may encounter.