Spectacular increase in payments in euros, especially by companies

Brussels, 19/04/2000 (Agence Europe) - The European Commission has published its second quarterly report (for first quarter 2000) on use of the euro, which reveals that the volume of payments in euros has increased "dramatically" compared to last year, mainly due to the recent wave of company mergers and acquisitions. In terms of value, 25% of payments by companies are now being made in euros and almost all new accounts opened by companies are in euros.

Further, the report demonstrates that the practice of dual pricing, in euros and national currencies, is widespread in all Member States. Payments in euros by individuals have also increased, totalling almost 10% in terms of value. In addition, the majority of purchases via Internet are in euros, establishing a strong link between e-commerce and the use of the new European currency.

In public administrations, however, use of the euro is expanding at a slow pace, but a positive impact is expected from a number of measures taking effect later this year, such as the conclusion of public contracts in euros in France. The report is available at the following site: http: //europa.eu.int/comm dgs/economy_finance/document/misc/eurouse_EN.htm.

Progress in euro-denominated bonds, first steps towards "e-bonds"

The Commission has also published a report on bond markets demonstrating that euro-denominated bonds continued their impressive performance of 1999 in the first quarter of this year. Volumes of bonds issued in euros and US dollars were "very similar" and there continues to be a good balance between government and other type of issuers and balanced distribution in terms of size of the issue. In addition, there was a slight increase in issues outside the euro area and the new millennium has seen bond market participants turn increasingly to the internet (according to the report, world bond markets now seem to be on the verge of an on-line revolution). This second report is available at the following site: http: //europa.eu.int/comm /dgs/economy_FINANCE/ document/eurobond/eurobondidx_EN.htm.