Transcript Chapter 18

European Currencies
What is the European
Union?
• It is a group of 27 countries who have
come together to have free trade and
economic co-operation.
What are the aims of the
EU?
• Free trade: No customs/import duties
between member countries.
• Free movement of capital(money) &
labour(workers).
• Common currency: Only used by 15 member
states at present.
What are the benefits of
EU membership to Ireland?
• EU grants which have helped develop our
country.
• Larger market for selling our exports.
• Ireland is the only english speaking
conuntry using the euro, US co.’s set up
here to have access to EU market.
What is the Eurozone?
• The 15 countries within the EU which
have the Euro as their currency.
• AKA “Euroland”.
What are the benefits of
being a member of Euroland to
Irleand?
• No need to convert currency when trading
with these countries.
• Easier to compare prices.
• More employment due to US companies
setting up in Ireland to have access to EU.
Members of Euroland
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Austria
Belgium
Cyprus
Finland
France
Germany
Greece
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Ireland
Italy
Luxemburg
Malta
Netherlands(Holland)
Portugal
Slovenia
Spain
The other 12 EU member
states
• Bulgaria: Le
• Czech Rep: Czech
Crown
• Denmark: Krone
• Estonia: Estonian
Crown
• Hungary: Forint
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Latvia:Lats
Lithuania: Litas
Poland: Zloty
Romania: Leu
Slovakia: Koruna
Sweden: Krona
United Kingdom
Pound Sterling
Rules for converting
currency
• Converting Euro to
foreign:
• Going abroad on
holiday!!!(SMILE)
• Multiply by the sell
rate.
• Converting foreign to
Euro:
• Coming back from
holiday. (BRON/SAD)
• Divide buy the buy rate.