Euro is the currency formed in the'' European Union. It is used in seventeen member states of the European Union, which form the euro area. Although new as compared with Dollar and Pound, Euro has gained popularity in the world and is circulated widely among businesses and corporate sector.
According to statistics and figures issued by economists, Euro is the second most important currency in the world for the amount of transactions, behind the US dollar. When the currency was launched it quickly expanded its market, spreading to several non-EU countries that did business in US Dollar only.
The euro is handled and managed by the European Central Bank (ECB). The ECB is based in Frankfurt, Germany, with offices in all EU countries. The Euro system, regulated by the EU, consists of the central banks of the euro area states. As an independent central bank, ECB is the only entity with the power to formulate and implement a monetary policy for the entire euro region. The Euro system typically oversees the printing, minting and distribution of notes and coins in all member states of European Union. It also ensures the smooth functioning of payment systems within the euro region.
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Pound, a relatively older and more popular currency than Euro, was created in Great Britain. When Great Britain ruled many parts of the world, Pound was the currency used in most of the world’s business and trade. Due to the contraction of British Empire after second World War, Pound also lost its charisma and the US Dollar stepped in to take the major share. Despite this, Pound is still among the three most important currencies of the world and is traded globally.
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