News

European Commission: Italians slow to adopt euro

January 3, 2002

ROME -- Italians were slow to take to the euro when compared to residents of the other 11 countries in the euro zone, according to the European Commission.

On Jan. 3, 72 hours after the launch of Europe's single currency, Italian Prime Minister Silvio Berlusconi clashed openly with three other senior ministers for talking down the euro, according to an Associated Press report.

While governments across Europe had given it their full backing, "we have done everything possible to belittle it," Ruggiero said.

In Brussels, the European Commission highlighted Italy's poor early performance by comparison with its 11 euroland counterparts. An average of 20 percent of retail business transactions on Jan. 2 were conducted in euros, ranging from a low of 10 percent in Italy to a high of nearly 50 percent in France and the Netherlands, said Gerassimos Thomas, spokesman for Economic and Monetary Affairs Commissioner Pedro Solbes.

The commission had earlier reported the Italian transaction rate at three percent but later revised the figure upwards. The low use in Italy, Thomas said, was due to the low rate of pre-loading of ATMs and the fact that Italians had purchased relatively few of the "starter kits" of euro coins available in late December.

That ATM situation was being corrected, he said. The Italian banks association said 90 percent of ATMs were loaded with euros by the afternoon of Jan. 3, up from 70 percent late on Jan. 2.

The Confcommercio trade confederation said the Brussels figure did not take account of an increasing uptake in the 24 hours between Jan. 2 and Jan. 3; Italy's cafe-restaurant federation said 18 percent of transactions on Jan. 3 were made with the euro.

"This is not a race between countries," said Jonathan Faull, spokesman for European Commission President Romano Prodi, a native of Italy. "The president has no doubt whatever about the enthusiasm of the Italians for the new money."