). Specifically, the Stability and Growth Pact states those conditions under which EMU members have the right to exceed the set public debt to GDP ratio. Should authorization not be granted, member states make a mandatory deposit, which shall be transformable into a fine 2 years later (Per Jacobson, 1999). The Treaty of Maastricht also outlined the timetable of events, which are scheduled to occur if the single currency will be fully operational by 2002. Stages One and Two, were completed between 1990 and 1999, providing the foundations for the imminent success of the Euro. During this period, the Single European Market was completed, all ERM members entered narrow exchange rate bands, member states initiated policies which conformed with Maastricht specifications and the ESCB was created to implement monetary policy for EMU (Harris, 1999:84). May 1998 marked the deadline for membership offers to those countries that had proven their compliance with the Maastricht Convergence Criteria. Belgium, Germany, France, Spain, Ireland, Italy, Luxembourg, the Netherlands, Austria, Portgual and Finland all entered the EMU, with Greece being granted membership in January 2001 (Europa (4), 2001). From January 1999, the Euro became the official currency the EMU, which ensured from that point forward all foreign exchange operations and new public debt was issued in Euros. On January 1st 2002, Euro coins and banknotes will go into circulation and in March 2002 it is the intention of EMU authorities to cancel national currencies as a means of exchange(Antweller, 2001). The development of the EMU has indeed been a long and involved process spanning 50 years, yet it will undeniably yield benefits for business within ‘Euroland’ and have considerable implications for the business communities in other European nations.The ‘Eurozone’ business community is likely to accumulate a number of benefits from the implementation of the EMU, mak...
