In May 2004, 10 countries,1 8 of which are from Central and Eastern Europe, joined the European Union (EU) and became members of the European Monetary Union (EMU). However, the new members entered the EMU with derogation because, under the Maastricht Treaty, their uno actu adoption of the euro is not possible.2 Subsequently, albeit not necessarily upon EU accession, the new members are expected to participate in the Exchange Rate Mechanism II (ERM II)3 for at least two years to satisfy the Maastricht exchange rate criterion for adoption of the euro. Compliance with all five of the Maastricht convergence criteria paves the way for adopting the euro. A number of the accession countries have announced that they will strive to attain this latter objective at an early, if not the earliest possible, date, thereby opting for a rather short participation in the ERM II.
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