Could companies actually stop using national currencies after 1999 then?
Probably not, because consumers will still be using national currency units. The public sector will probably be working in national currency units as well. A further obstacle to any rapid switch is that companies may not be able to pay taxes and file accounts in euros. Can companies be forced to use euros? European governments have agreed that there will be “no compulsion” and “no prohibition” in the use of the euro between 1999 and 2002. But what if one business partner wants to use euros – and the other does not? Commercial clout will probably dictate the outcome, unless banks bear the conversion costs. But won’t coping with two currency units be complicated for companies? Big companies which already deal in many currencies will probably not have difficulties. Small companies used to dealing with one currency could find it harder. Why are notes and coins not being introduced until 2002 then? Central banks say three years are needed to print the banknotes and mint coins. Retailers and
