Monetary union

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In economics, a monetary union is a situation where several countries have agreed to share a single currency (also known as a unitary or common 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).

1 Existing monetary unions
2 De facto monetary unions
3 Planned monetary unions
4 Proposed monetary unions
5 Previous monetary unions
6 See also
7 External links

[edit] Existing monetary unions

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).
The euro is used by fifteen European Union member states: Austria, Belgium, Cyprus, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, Malta, the Netherlands, Portugal, Slovenia 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, Andorra, Montenegro and Kosovo. (See de facto monetary unions below for these territories). The euro is issued by the European Central Bank.

[edit] De facto monetary unions

See also: dollarization

The Armenian dram is used as legal tender in both Armenia and the self-declared independent Nagorno-Karabakh Republic.
The Australian dollar is used by Australia, Kiribati, Nauru, and Tuvalu.
In the countries of Brunei and Singapore, the Brunei dollar and the Singapore dollar are legal tender in both countries.
The euro is used as legal tender in Andorra, Kosovo and Montenegro although they are not a part of the Eurozone. (Andorra used the French franc and the Spanish peseta prior to the euro transfer, while Montenegro and Kosovo used the German mark.)
The Indian rupee is legal tender in both India and Bhutan (alongside the ngultrum). It is also freely used as a tender in Nepal, due to the instability caused by that country's civil war.
The New Zealand dollar is used by New Zealand, Niue, the Cook Islands, Tokelau, and the Pitcairn Islands.
The Palestinian territories under the control of the Palestinian National Authority use the Israeli new shekel and Jordanian dinar (the latter in the West Bank only).
The Russian ruble is used in Russia and the Georgian autonomous (self-declared independent) republics of Abkhazia and South Ossetia.
The South African rand is legal tender in South Africa, Swaziland, Lesotho, and Namibia through the Common Monetary Area.
The Swiss franc is legal tender in Switzerland and Liechtenstein.
The Turkish new lira is legal tender in both Turkey and the self-proclaimed Turkish Republic of Northern Cyprus.
The United States dollar is used by the United States and its possessions, Palau, Micronesia, the Marshall Islands, Panama (alongside the Panamanian balboa), Ecuador, El Salvador, the British Virgin Islands and the Turks and Caicos Islands.

[edit] Planned monetary unions

East African Community (EAC) with the proposed currency being named the East African shilling, planned to be introduced in 2009, and to be used by the future East African Federation.
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 with the proposed name of the Khaleeji.
Caribbean Single Market and Economy (CSME) (as part of the CARICOM) due between 2010 and 2015.
Union of Russia and Belarus, originally due in 2004, but which might be introduced in 2008 (plans were apparently dropped when the Central Bank of Belarus announced the Belarusian Ruble would be tied to the US dollar).
Southern African Development Community/Southern African Customs Union (SADC)/(SACU), due in 2016.
Union of South American Nations (Unasur/Unasul), due in 2019. Ecuador's President Rafael Correa on Dec. 15, 2007 proposed to call the currency the "latino."
Common Market for Eastern and Southern Africa, due in 2025.
African Economic Community due in 2028.