Monetary union

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In economics, a monetary union is a situation where several countries have agreed to share a single currency among them, for example, the East Caribbean Dollar. A monetary union differs from an Economic and monetary union, where it is not just currency but also economic policy that is pooled or co-ordinated (as in the European Union Eurozone, for instance).

Contents

1 Existing monetary unions
2 ''De facto'' monetary unions
3 Proposed monetary unions
4 Previous monetary unions
5 External links

Existing monetary unions

The euro is used by twelve European Union member states: Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal, and Spain and is also used in Monaco, San Marino, and the Vatican City which are licensed to issue and use the euro. Two other countries and a subnational entity use the euro but are not licensed to issue any euro coins or notes. (See de facto monetary unions below for these territories). The euro is issued by the Economic and Monetary Union of the European Union.
The CFA franc BEAC is used by Cameroon, the Central African Republic, Chad, the Republic of the Congo, Equatorial Guinea and Gabon and is issued by the Communauté Économique et Monétaire de l'Afrique Centrale (CEMAC), i.e. the Economic and Monetary Community of Central Africa.
The CFA franc BCEAO is used by Benin, Burkina Faso, Côte d'Ivoire, Guinea-Bissau, Mali, Niger, Senegal, and Togo and is issued by the Union Économique et Monétaire Ouest Africaine (UEMOA), i.e. the West African Economic and Monetary Union.
The CFP franc is used by French Polynesia, New Caledonia, and Wallis and Futuna and is issued by the Institut d'émission d'outre-mer (IEOM), i.e. the Overseas Issuing Institute.
The East Caribbean dollar is used by Anguilla, Antigua and Barbuda, Dominica, Grenada, Montserrat, Saint Kitts and Nevis, Saint Lucia, and Saint Vincent and the Grenadines and is issued by the Eastern Caribbean Currency Union of the Organisation of Eastern Caribbean States (OECS).

De facto monetary unions

The United States dollar is used by the United States and its possessions, Palau, Micronesia, the Marshall Islands, Panama, Ecuador, El Salvador, East Timor, the British Virgin Islands and the Turks and Caicos Islands.
The Australian dollar is used by Australia, Kiribati, Nauru, and Tuvalu.
The New Zealand dollar is used by New Zealand, Niue, the Cook Islands, Tokelau, and the Pitcairn Islands.
Andorra, Kosovo and Montenegro all use the euro as legal tender although they are not a part of the Eurozone.
The South African rand is legal tender in South Africa, Swaziland, Lesotho, and Namibia through the Common Monetary Area.
The Russian ruble is used in Russia and the Georgian autonomous (self-declared independent) republics of Abkhazia and South Ossetia.
The Palestinian territories under the control of the Palestinian National Authority use the new Israeli shekel (as does Israel).
The Swiss franc is legal tender in Switzerland and Liechtenstein.
The self proclaimed Turkish Republic of Northern Cyprus uses the new Turkish lira, which is legal tender in both that statelet and Turkey.
The Dram (AMD) is used as legal tender in both Armenia and the self proclaimed Nagorno Karabakh Republic statelet.
In the countries of Brunei and Singapore, the Brunei dollar and the Singapore dollar are legal tender in both countries.

Proposed monetary unions

Asian Currency Unit, between ASEAN, China, Japan, and South Korea
between Canada, the United States and Mexico to adopt the "Amero" or the "American Dollar."
between Australia, New Zealand and Papua New Guinea
Caribbean Single Market and Economy (CSME) (as part of the CARICOM)
East African Community (EAC) with the proposed currency being named the East African shilling, planned to be introduced in 2009
West African Monetary Zone inside Economic Community of West African States (ECOWAS) with the proposed currency being named the Eco, finally planned to be introduced in December 2009 after the date was set back twice
Gulf Cooperation Council (GCC), planned to be introduced in 2010
South American Community of Nations (CSN), due in 2019
Union of Russia and Belarus
Southern African Development Community/Southern African Customs Union (SADC)/(SACU), due in 2016
Common Market for Eastern and Southern Africa, due in 2025
African Economic Community due in 2028

Previous monetary unions

between Bahrain and Abu Dhabi using the Bahraini dinar
between Bahrain, Kuwait, Oman, Qatar and the Trucial States using the Gulf Rupee
between Aden and South Arabia, Bahrain, Kenya, Kuwait, Oman, Qatar, British Somaliland, the Trucial States, Uganda, Zanzibar and British India (later independent India) using the Indian Rupee
Belgium-Luxembourg Monetary Union superseded by the European EMU
between British India and the Straits Settlements (1837-1867) using the Indian Rupee
between Ethiopia and Eritrea using the Ethiopian birr
between France, Monaco, and Andorra using the French franc
between the Eastern Caribbean, Barbados, Trinidad and Tobago and British Guiana using the Eastern Caribbean dollar
between Italy, Vatican City, and San Marino using the Italian lira
between Jamaica and the Cayman Islands using the Jamaican pound and later Jamaican dollar
between Kenya, Uganda and Zanzibar using the East African rupee
between Kenya, Uganda and Zanzibar (and later Tanganyika) using the East African florin
between Kenya, Tanganyika and Zanzibar (later merged as Tanzania), Uganda, South Arabia, British Somaliland and Italian Somaliland using the East African Shilling
Latin Monetary Union
between Liberia and the United States using the United States dollar
between Mauritius and Seychelles using the Mauritian rupee
between Nigeria, the Gambia, Sierra Leone, the Gold Coast and Liberia using the West African Pound
North German thaler (basically the Prussian thaler)
Ruble zone countries
between Qatar and all the emirates of the UAE, except Abu Dhabi using the Qatar and Dubai riyal
between Saudi Arabia and Qatar using the Saudi riyal
between Samoa and New Zealand using the New Zealand Pound
between Denmark, Norway and Sweden in the Scandinavian Monetary Union
between the Solomon Islands, Papua New Guinea and Australia using the Australian dollar
South German guilder
between Spain and Andorra using the Spanish peseta
proposed pan-American monetary union - abandoned in the form proposed by Argentina
between Malaysia and Singapore - until early 1970s

External links

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