<P> The name euro was officially adopted on 16 December 1995 in Madrid . The euro was introduced to world financial markets as an accounting currency on 1 January 1999 , replacing the former European Currency Unit ( ECU ) at a ratio of 1 : 1 ( US $1.1743 ) . Physical euro coins and banknotes entered into circulation on 1 January 2002 , making it the day - to - day operating currency of its original members , and by May 2002 had completely replaced the former currencies . While the euro dropped subsequently to US $0.83 within two years ( 26 October 2000 ) , it has traded above the U.S. dollar since the end of 2002 , peaking at US $1.60 on 18 July 2008 . Since late 2009 , the euro has been immersed in the European sovereign - debt crisis which has led to the creation of the European Financial Stability Facility as well as other reforms aimed at stabilising the currency . In July 2012 , the euro fell below US $1.21 for the first time in two years , following concerns raised over Greek debt and Spain 's troubled banking sector . As of April 2018 , the euro -- dollar exchange rate stands at ~ US $1.23 . </P>
<P> The name euro was officially adopted on 16 December 1995 in Madrid . The euro was introduced to world financial markets as an accounting currency on 1 January 1999 , replacing the former European Currency Unit ( ECU ) at a ratio of 1 : 1 ( US $1.1743 ) . Physical euro coins and banknotes entered into circulation on 1 January 2002 , making it the day - to - day operating currency of its original members , and by May 2002 had completely replaced the former currencies . While the euro dropped subsequently to US $0.83 within two years ( 26 October 2000 ) , it has traded above the U.S. dollar since the end of 2002 , peaking at US $1.60 on 18 July 2008 . Since late 2009 , the euro has been immersed in the European sovereign - debt crisis which has led to the creation of the European Financial Stability Facility as well as other reforms aimed at stabilising the currency . In July 2012 , the euro fell below US $1.21 for the first time in two years , following concerns raised over Greek debt and Spain 's troubled banking sector . As of April 2018 , the euro -- dollar exchange rate stands at ~ US $1.23 . </P>
when was the euro introduced as legal currency in the world market
when was the euro introduced as legal currency in the world market
1 January 1999
1 January 1999