EU LIBRARY BLOG:"Ecu, euro, or euromark? The name of the single currency"

 

Library blog Friday 21 January 2022

● General Secretariat of the Council   Ecu, euro, or euromark? The name of the single currency   Ever heard of the eurolira? How about the florin? Or the ecu? This third post in the Council Archives series about the origins of the euro examines some of the key discussions that took place when deciding on the single currency’s name. Ecu, euro, or euromark? The name of the single currency 21 January 2022   Library note   gsclibrary Euro area Economy & finance Guest blogger: Central Archives of the Council of the European Union "…only a few thousand days to go!" This caricature by Haitzinger shows the fear German citizens felt about abandoning the German mark for a single European currency (© Horst Haitzinger)   In William Shakespeare’s Romeo and Juliet, Juliet ponders over the importance of “what’s in a name”. She implies that a name is nothing in itself. It is merely a convention with no meaning behind it. And yet, if you probe into why things are called the way they are, you often uncover fascinating insights into their origins. Nowhere is this more apparent than in the naming of the single European currency, the euro. In 1995, the creation of a single European currency was edging ever closer to becoming a reality, but a fundamental decision had yet to be taken: the future currency’s name. This third post in the Council Archives series about the origins of the euro explores some of the key discussions about its name. All the member states needed to agree on a common interpretation of the Maastricht Treaty regarding the status of the term ‘ECU’. The final decision would be taken at the European Council meeting in Madrid on 15 and 16 December 1995. The meeting was not solely devoted to discussing the name, of course, but as the Luxembourg delegation pointed out, it was a relevant issue since the choice of name would have a direct influence on the degree of acceptance of the new single currency. With indecision reigning, in November 1995 the European Monetary Committee established a series of criteria to be taken into account when choosing the final name: Having the same name in all languages Linguistic simplicity National neutrality Public acceptability                Having existed since 1979, ‘ecu’ was the favourite candidate. It was simple and citizens were used to it… but its echoes of the medieval French currency, the écu, made it not completely neutral, and therefore problematic. Proposals for the name of the new currency were not lacking, e.g. florin, ducat, couronne. But not one of them grabs your attention like ‘euro’. The German proposal regarding the name of the new European currency - "Conseil Européen, Madrid, les 15 et 16.12.1995" (Archives of the Council of the EU. CM4 1B AC.1522).   The press credit Belgian Esperanto enthusiast Germain Pirlot as the person behind the name ‘euro’. Pirlot sent a letter on 4 August 1995 to the president of the European Commission, Jacques Santer, suggesting the name. However, ‘euro’ might already have been around for quite some time. Back in the 1960s, Italy’s European Federalist Movement had already suggested the name. As of 1995, ‘euro’ seems to have gained acceptance within the European institutions and among some national representatives, who started to see it as the main competitor of ‘ecu’. On arrival at the summit in Madrid, delegations came armed with the results of their own domestic polls and were familiar with the different options. As the documents show, ‘euro’ and ‘ecu’ were the European institutions’ favourites, yet not all delegations were fully accepting of the new potential name – notably not the French delegation. Handwritten notes by an attendee at the meeting show us that several delegations found the name unoriginal and lacking in historical relevance. The UK suggested ‘florin’, pointing out that it was a denomination used widely in Europe through the ages. But ‘euro’ was the favourite. However, fearing a lack of acceptance of the new currency, German chancellor Helmut Kohl proposed prefixing ‘euro’ to the name of the national currency: ‘euromark’ in Germany, ‘eurolira’ in Italy, ‘eurofranc’ in France, and so on. The German proposal was rejected by several countries on the grounds it would create huge confusion between the countries. Handwritten notes from the Madrid European Council conserved in the Archive of the Council of the EU give great insight into the decision-making process - "Conseil Européen, Madrid, les 15 et 16.12.1995" (Archives of the Council of the EU. CM4 1B AC.1522).   The biggest opposition came from Jacques Chirac, who considered the name ‘euro’ to be clumsy (‘maladroit’) and technocratic and was in favour of holding a public poll on the name. Chirac’s suggestion met with opposition from most of the delegations, who considered that delaying the decision would show indecision to the public and undermine public support for the single European currency as a project. At this point, time was running out – the discussion about the name was taking too long and it was decided that a choice would be made that same day in Madrid. With some reluctance, most of the countries agreed that ‘euro’ was a name that symbolised the ideas of the European Union. Kohl finally accepted ‘euro’ as a noun, and Chirac, not wanting to oppose the decision of the presidency and the other member states, acquiesced. Perhaps foreseeing the importance of the decision, the then Portuguese prime minister, António Guterres, took the floor and, paraphrasing the gospel, said "You are Peter, and on this euro I will build this Europe". Indeed, since its creation, the euro has been a cornerstone in the construction of the European Union, shaping the way Europeans buy, travel and trade.  This post is part of a series of posts published by the Archives of the Council of the European Union on the origins of the euro. The first two entries can be accessed below. How did we get to a single currency? The ‘troublesome’ ECU: the ancestor of the single currency This post does not necessarily represent the positions, policies, or opinions of the Council of the European Union or the European Council. 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