Yesterday European leaders decided that Cyprus and Malta can join the euro area on 1 January 2008. The final approval, though, will come from the European finance ministers, the ECOFIN Council. They are set to meet on July 10.
The European leaders’s decison follows a supporting resolution by the European Parliament.
While there was overwhelming support for the applications from Cyprus (585 in favour, 14 against) and Malta (610 in favour, 12 against), MEPs were concerned that the timetable they were being asked to follow in adopting their opinion was too short.
To avoid this happening in future, they adopted - by 552 votes in favour to 37 against - a separate resolution urging the Commission and Council to come to a formal inter-institutional agreement with Parliament with a view to ensuring MEPs have at least two months to consider proposals to enlarge the euro area.
When Cyprus and Malta adopt the euro, the number of countries using the euro will rise to 15. The number of people using the euro will only grow by 1 million. Currenlty the euro is used by 318 million Europeans.
