Two New Euro Area Member States: Cyprus and Malta

As of 1 January 2008, Cyprus and Malta have adopted the euro as their currency. They follow in the footsteps of Slovenia, which in 2007 was the first of the member states from the 2004 enlargement to adopt the single currency. In connection with the changeover, Cyprus pounds and Maltese lira will be exchanged for euro at the conversion rates adopted by the Ecofin Council in July 2007. Euro banknotes and coins will be in circulation from 1 January 2008, and the national currencies will gradually be withdrawn. The euro banknotes will be identical to those used elsewhere in the euro area, while the euro coins will have one national side. The national sides of the two member states' euro coins are shown in Box 1.