Economy of Europe
Encyclopedia
The economy of Europe comprises more than 731 million people in 48 different states. Like other continents, the wealth
Wealth
Wealth is the abundance of valuable resources or material possessions. The word wealth is derived from the old English wela, which is from an Indo-European word stem...

 of Europe's states varies, although the poorest are well above the poorest states of other continents in terms of GDP and living standards. The difference in wealth across Europe can be seen in a rough East-West divide. Whilst some European states have high GDPs
Gross domestic product
Gross domestic product refers to the market value of all final goods and services produced within a country in a given period. GDP per capita is often considered an indicator of a country's standard of living....

 and living standards (Lichtenstein, Luxembourg, Monaco, Andorra, Norway, Sweden, the Netherlands, Switzerland), many European economies are still developing
Human Development Index
The Human Development Index is a composite statistic used to rank countries by level of "human development" and separate "very high human development", "high human development", "medium human development", and "low human development" countries...

 (Moldova, Turkey or Ukraine). Throughout this article "Europe" and derivatives of the word are taken to include selected states whose territory is only partly in Europe – such as Turkey (depending on a definition - whole country or just Thrace), Azerbaijan (Caucasus), and the Russian Federation (its European part to Ural Mountains) – and states that are geographically in Asia, bordering Europe and culturally adherent to the continent – such as Armenia, Georgia, and Cyprus.

Europe was the first continent to industrialize – led by the United Kingdom in the 18th century – and as a result, it has become the richest continent in the world today and the nominal GDP in 2010 is $19.920 trillion (32.4% of the World). Europe's largest national economy is that of Germany, which ranks fourth globally in nominal GDP, and fifth in purchasing power parity
Purchasing power parity
In economics, purchasing power parity is a condition between countries where an amount of money has the same purchasing power in different countries. The prices of the goods between the countries would only reflect the exchange rates...

 (PPP) GDP; followed by France, ranking fifth globally in nominal GDP, followed by the United Kingdom, ranking sixth globally in nominal GDP, followed by Italy, which ranks seventh globally in nominal GDP, then by Russia ranking tenth globally in nominal GDP.

These 5 countries are all ranking in the world's top 10, therefore European economies account for half of the 10 wealthiest ones. The end of World War II has since brought European countries closer together, culminating in the formation of the European Union
European Union
The European Union is an economic and political union of 27 independent member states which are located primarily in Europe. The EU traces its origins from the European Coal and Steel Community and the European Economic Community , formed by six countries in 1958...

 (EU) and in 1999, the introduction of a unified currency – the euro. European Union
European Union
The European Union is an economic and political union of 27 independent member states which are located primarily in Europe. The EU traces its origins from the European Coal and Steel Community and the European Economic Community , formed by six countries in 1958...

 as a whole is, by far, the wealthiest and largest economy in the world, topping the US by more than 2.000 billions at a time of great economic slowdown– see List of countries by GDP. In 2009 Europe remained the world's wealthiest region. Its $32,7 trillion in assets under management represented more than one-third of the world’s wealth. Unlike North America ($29,3 trillion) it was one of few regions where wealth surpassed its precrisis year-end peak.

Of the top 500 largest corporations measured by revenue (Fortune Global 500
Fortune Global 500
The Fortune Global 500 is a ranking of the top 500 corporations worldwide as measured by revenue. The list is compiled and published annually by Fortune magazine....

 in 2010), 184 have their headquarters in Europe. 161 are located in the EU, 15 in Switzerland, 6 in Russia, 1 in Turkey, 1 in Norway.

Pre-1945: Industrial growth

Prior to World War II, Europe's major financial and industrial states were the United Kingdom, France and Germany. The Industrial Revolution
Industrial Revolution
The Industrial Revolution was a period from the 18th to the 19th century where major changes in agriculture, manufacturing, mining, transportation, and technology had a profound effect on the social, economic and cultural conditions of the times...

, which began in Britain, had spread rapidly across Europe, and before long the entire continent was at a high level of industry. World War I had briefly led to the industries of some European states stalling, but in the run-up to World War II Europe had recovered well, and was competing with the ever increasing economic might of the United States of America.

However, World War II caused the destruction of most of Europe's industrial centres, and much of the continent's infrastructure was laid to waste.

1945–1990: The Cold War era

Following World War II, European Government was in tatters.
Many non-Socialist European governments moved to link their economies, laying the foundation for what would become the European Union
European Union
The European Union is an economic and political union of 27 independent member states which are located primarily in Europe. The EU traces its origins from the European Coal and Steel Community and the European Economic Community , formed by six countries in 1958...

. This meant a huge increase in shared infrastructure and cross-border trade. Whilst these European states rapidly improved their economies, by the 1980s, the economy of the COMECON
Comecon
The Council for Mutual Economic Assistance , 1949–1991, was an economic organisation under hegemony of Soviet Union comprising the countries of the Eastern Bloc along with a number of communist states elsewhere in the world...

 was struggling, mainly due to the massive cost of the Cold War
Cold War
The Cold War was the continuing state from roughly 1946 to 1991 of political conflict, military tension, proxy wars, and economic competition between the Communist World—primarily the Soviet Union and its satellite states and allies—and the powers of the Western world, primarily the United States...

. The GDP and living standard of Central and Eastern European states were lower than in other parts of Europe. Even free-market Greece, situated in South-Eastern Europe, struggled due to geographical isolation from non-socialist part of Europe.

The European Community grew from 6 original members following World War II, to 12 in this period.
]
Average living standards in Europe rose significantly during the post-war period, as characterised by these findings:

Per capita private consumption (PPSs) in 1980
  • Luxembourg: 5495
  • German Federal Republic: 5319
  • Denmark: 4802
  • France: 5395
  • Belgium: 5143
  • Netherlands: 4792
  • United Kingdom: 4343
  • Italy: 4288
  • Ireland: 3029


Per capita personal disposable income (PPSs) in 1980
  • German Federal Republic: 5661
  • Denmark: 4878
  • France: 6044
  • Belgium: 6202
  • Netherlands: 5490
  • United Kingdom: 4698
  • Italy: 5378

Rise of the EU

When the 'Eastern Block' dissolved around 1991, these states struggled to adapt to free-market systems. There was, however, a huge variation in degrees of success, with Central European states such as Hungary, Slovenia and Poland adapting reasonably quickly, whilst post-Soviet states such as Russia and Ukraine struggled to reform their crumbling infrastructures.

Developed European countries was quick to develop economic ties with European countries where democracy was reintroduced. While the former socialist Central European and Soviet states dealt with change, former Yugoslavian republics descended into war.

Europe's largest economy, Germany, struggled upon unification in 1991 with former communist German Democratic Republic
German Democratic Republic
The German Democratic Republic , informally called East Germany by West Germany and other countries, was a socialist state established in 1949 in the Soviet zone of occupied Germany, including East Berlin of the Allied-occupied capital city...

. The Russian controlled Eastern part of the country had had much of its industrial infrastructure removed during the Cold War, and for many years the West struggled to build the part of Germany up to an equal level.

Peace did not come to Yugoslavia for a decade, and by 2003, there were still many NATO and EU peacekeeping troops present in Bosnia and Herzegovina, Macedonia, and Kosovo . War severely hampered economic growth, with only Slovenia making any real progress in the 1990s.

The economy of Europe was by this time dominated by the EU, a huge economic and political organization with then 15 of Europe's states as full members. EU membership was seen as something to aspire to, and the EU gave significant support and aid to those Central and Eastern European states wishing to work towards achieving economies that met the entry criteria. During this time, 12 of the 15 members of the EU became part of the Eurozone
Eurozone
The eurozone , officially called the euro area, is an economic and monetary union of seventeen European Union member states that have adopted the euro as their common currency and sole legal tender...

, a currency union
Currency union
A currency union is where two or more states share the same currency, though without there necessarily having any further integration such as an Economic and Monetary Union, which has in addition a customs union and a single market.There are three types of currency unions:#Informal - unilateral...

 launched in 1999, whereby each member uses a shared currency, the Euro, which replaced their former national currencies. Three states chose to remain outside the Eurozone and continue with their own currencies, namely Denmark, Sweden and the United Kingdom.

2004–2007: EU expansion

In early 2004, 10 mostly former communist states joined the EU in its biggest ever expansion
Enlargement of the European Union
The Enlargement of the European Union is the process of expanding the European Union through the accession of new member states. This process began with the Inner Six, who founded the European Coal and Steel Community in 1952...

, enlarging the union to 25 members, with another eight making associated trade agreements. The acceding countries are bound to join the Eurozone and adopt the common currency Euro in the future. The process includes the European Exchange Rate Mechanism
European Exchange Rate Mechanism
The European Exchange Rate Mechanism, ERM, was a system introduced by the European Community in March 1979, as part of the European Monetary System , to reduce exchange rate variability and achieve monetary stability in Europe, in preparation for Economic and Monetary Union and the introduction of...

, of which some of these countries are already part.

Most European economies are in very good shape, and the continental economy reflects this. Conflict and unrest in some of the former Yugoslavia states and in the Caucasus
Caucasus
The Caucasus, also Caucas or Caucasia , is a geopolitical region at the border of Europe and Asia, and situated between the Black and the Caspian sea...

 states are hampering economic growth in those states, however.

In response to the massive EU growth, in 2005 the Russian dominated Commonwealth of Independent States
Commonwealth of Independent States
The Commonwealth of Independent States is a regional organization whose participating countries are former Soviet Republics, formed during the breakup of the Soviet Union....

 (CIS) created a rival trade bloc to the EU, open to any previous USSR state, (including both the European and Asian states). 12 of the 15 signed up, with the three Baltic states
Baltic states
The term Baltic states refers to the Baltic territories which gained independence from the Russian Empire in the wake of World War I: primarily the contiguous trio of Estonia, Latvia, Lithuania ; Finland also fell within the scope of the term after initially gaining independence in the 1920s.The...

 deciding to align themselves with the EU. Despite this, the three Caucasus states have said in the past they would one day consider applying for EU membership, particularly Georgia. This is also true of Ukraine since the Orange Revolution
Orange Revolution
The Orange Revolution was a series of protests and political events that took place in Ukraine from late November 2004 to January 2005, in the immediate aftermath of the run-off vote of the 2004 Ukrainian presidential election which was claimed to be marred by massive corruption, voter...

.

Regional variation

West Europe, with a long history of trade, a free market system, and a high level of development in the previous century, has been wealthier and more stable than the East, even though the gap is converging due to higher growth rates in the East.

The poorest states are those that just emerged from communism and civil wars, namely those of the former Soviet Union
Soviet Union
The Soviet Union , officially the Union of Soviet Socialist Republics , was a constitutionally socialist state that existed in Eurasia between 1922 and 1991....

 and Yugoslavia
Yugoslavia
Yugoslavia refers to three political entities that existed successively on the western part of the Balkans during most of the 20th century....

 excluding Slovenia. But also West Europe itself presents some differences, especially between Northern countries (Scandinavia, Benelux, UK, Ireland, most of Germany) and Southern countries.
Below is a map of European countries by gross national income
Gross National Income
The GNI consists of: the personal consumption expenditures, the gross private investment, the government consumption expenditures, the net income from assets abroad , and the gross exports of goods and services, after deducting two components: the gross imports of goods and services, and the...

 per capita. High income countries
High income country
A high-income economy is defined by the World Bank as a country with a Gross National Income per capita of $12,196 USD or more in 2009. While the term "high income" is often used interchangeably with "First World" and "developed country", the technical definitions of these terms differ...

 – as defined by the World Bank
World Bank
The World Bank is an international financial institution that provides loans to developing countries for capital programmes.The World Bank's official goal is the reduction of poverty...

 – in blue ($12,196 or more), upper middle income in green ($3,946 – $12,195) and lower middle income ($996 – $3,945) in yellow.


Cities by GDP

Rank City State GDP in $ID B Population M
Million
One million or one thousand thousand, is the natural number following 999,999 and preceding 1,000,001. The word is derived from the early Italian millione , from mille, "thousand", plus the augmentative suffix -one.In scientific notation, it is written as or just 106...

 (LUZ)
GDP per capita $ID K Eurozone
Eurozone
The eurozone , officially called the euro area, is an economic and monetary union of seventeen European Union member states that have adopted the euro as their common currency and sole legal tender...

1 London
London
London is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...

$ 565 11.92 $ 47.4 N
2 Paris
Paris
Paris is the capital and largest city in France, situated on the river Seine, in northern France, at the heart of the Île-de-France region...

$ 564 11.09 $ 50.9 Y
3 Moscow
Moscow
Moscow is the capital, the most populous city, and the most populous federal subject of Russia. The city is a major political, economic, cultural, scientific, religious, financial, educational, and transportation centre of Russia and the continent...

$ 321 10.5 $ 30.6 N
4 Madrid
Madrid
Madrid is the capital and largest city of Spain. The population of the city is roughly 3.3 million and the entire population of the Madrid metropolitan area is calculated to be 6.271 million. It is the third largest city in the European Union, after London and Berlin, and its metropolitan...

$ 230 5.80 $ 39.7 Y
5 Istanbul
Istanbul
Istanbul , historically known as Byzantium and Constantinople , is the largest city of Turkey. Istanbul metropolitan province had 13.26 million people living in it as of December, 2010, which is 18% of Turkey's population and the 3rd largest metropolitan area in Europe after London and...

$ 187 13.2 $ 14.2 N
6 Barcelona
Barcelona
Barcelona is the second largest city in Spain after Madrid, and the capital of Catalonia, with a population of 1,621,537 within its administrative limits on a land area of...

$ 177 4.97 $ 35.6 Y
7 Rome
Rome
Rome is the capital of Italy and the country's largest and most populated city and comune, with over 2.7 million residents in . The city is located in the central-western portion of the Italian Peninsula, on the Tiber River within the Lazio region of Italy.Rome's history spans two and a half...

$ 144 3.46 $ 41.6 Y
8 Milan
Milan
Milan is the second-largest city in Italy and the capital city of the region of Lombardy and of the province of Milan. The city proper has a population of about 1.3 million, while its urban area, roughly coinciding with its administrative province and the bordering Province of Monza and Brianza ,...

$ 136 3.08 $ 44.2 Y
9 Vienna
Vienna
Vienna is the capital and largest city of the Republic of Austria and one of the nine states of Austria. Vienna is Austria's primary city, with a population of about 1.723 million , and is by far the largest city in Austria, as well as its cultural, economic, and political centre...

$ 122 2.18 $ 56.0 Y
10 Lisbon
Lisbon
Lisbon is the capital city and largest city of Portugal with a population of 545,245 within its administrative limits on a land area of . The urban area of Lisbon extends beyond the administrative city limits with a population of 3 million on an area of , making it the 9th most populous urban...

$ 98 2.44 $ 40.2 Y
11 Athens
Athens
Athens , is the capital and largest city of Greece. Athens dominates the Attica region and is one of the world's oldest cities, as its recorded history spans around 3,400 years. Classical Athens was a powerful city-state...

$ 96 4.01 $ 23.9 Y
12 Berlin
Berlin
Berlin is the capital city of Germany and is one of the 16 states of Germany. With a population of 3.45 million people, Berlin is Germany's largest city. It is the second most populous city proper and the seventh most populous urban area in the European Union...

$ 95 4.97 $ 19.1 Y

European Union

The European Union has the largest wealthiest economy in the world and is the first trade power in the world, trade within the Union accounts for more than one-third of the world total. The EU economy
Economy of the European Union
The economy of the European Union generates a GDP of over €12,279.033 billion according to the International Monetary Fund , making it the largest economy in the world...

 is expected to grow further over the next decade as more countries join the union – especially considering that the new States are usually poorer than the EU average, and hence the expected fast GDP growth will help achieve the dynamic of the united Europe. It is estimated that the Eurozone will grow around 2.6 per cent this year (2006), on a par with industrialized nations such as the United States at 2.6% (Q2 2006) and 1.6 (Q3 2006).

The European Union
European Union
The European Union is an economic and political union of 27 independent member states which are located primarily in Europe. The EU traces its origins from the European Coal and Steel Community and the European Economic Community , formed by six countries in 1958...

 or EU is a supranational union
Supranational union
Supranationalism is a method of decision-making in multi-national political communities, wherein power is transferred or delegated to an authority by governments of member states. The concept of supranational union is sometimes used to describe the European Union, as a new type of political entity...

 of 27 European states, the most recent acceding members being Romania and Bulgaria, which became full members in 1 January 2007. It has many functions, the most important being the establishment and maintenance of a common single market, consisting of a customs union, a single currency
Euro
The euro is the official currency of the eurozone: 17 of the 27 member states of the European Union. It is also the currency used by the Institutions of the European Union. The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg,...

 (adopted by 17 of the 27 member states), a Common Agricultural Policy
Common Agricultural Policy
The Common Agricultural Policy is a system of European Union agricultural subsidies and programmes. It represents 48% of the EU's budget, €49.8 billion in 2006 ....

 and a Common Fisheries Policy. The European Union also undertakes various initiatives to co-ordinate activities of the member states.

The union has evolved over time from a primarily economic union to an increasingly political one. This trend is highlighted by the increasing number of policy areas that fall within EU competence: political power has tended to shift upwards from the Member States to the EU.

European Free Trade Association

The European Free Trade Association
European Free Trade Association
The European Free Trade Association or EFTA is a free trade organisation between four European countries that operates parallel to, and is linked to, the European Union . EFTA was established on 3 May 1960 as a trade bloc-alternative for European states who were either unable to, or chose not to,...

 (EFTA) was established on 3 May 1960 as an alternative for European states that did not wish to join the European Union, creating a trade bloc
Trade bloc
A trade bloc is a type of intergovernmental agreement, often part of a regional intergovernmental organization, where regional barriers to trade, are reduced or eliminated among the participating states.-Description:...

 with fewer central powers.

The EFTA member states as of 1992 are Austria, Denmark, Finland, Iceland, Liechtenstein, Norway, Sweden and Switzerland. Today (in 2009) only 4 countries: Iceland, Norway, Switzerland and Liechtenstein remain members of EFTA, as the other members have gradually left to join the EU.

European Economic Area

The European Economic Area
European Economic Area
The European Economic Area was established on 1 January 1994 following an agreement between the member states of the European Free Trade Association and the European Community, later the European Union . Specifically, it allows Iceland, Liechtenstein and Norway to participate in the EU's Internal...

 (EEA) came into being on 1 January 1994 following an agreement between the European Free Trade Association (EFTA) and the European Union (EU). It was designed to enable EFTA countries to participate in the European Single Market
Single market
A single market is a type of trade bloc which is composed of a free trade area with common policies on product regulation, and freedom of movement of the factors of production and of enterprise and services. The goal is that the movement of capital, labour, goods, and services between the members...

 without having to join the EU.

In a referendum, Switzerland (ever keen on neutrality) chose not to participate in the EEA (although it is linked to the European Union by bilateral agreements similar in content to the EEA agreement), so the current members are the EU states plus Norway, Iceland and Liechtenstein.

A Joint Committee consisting of the non EU members plus the European Commission
European Commission
The European Commission is the executive body of the European Union. The body is responsible for proposing legislation, implementing decisions, upholding the Union's treaties and the general day-to-day running of the Union....

 (representing the EU) has the function of extending relevant EU Law to the non EU members.

Commonwealth of Independent States

The Commonwealth of Independent States
Commonwealth of Independent States
The Commonwealth of Independent States is a regional organization whose participating countries are former Soviet Republics, formed during the breakup of the Soviet Union....

 (CIS) is a confederation
Confederation
A confederation in modern political terms is a permanent union of political units for common action in relation to other units. Usually created by treaty but often later adopting a common constitution, confederations tend to be established for dealing with critical issues such as defense, foreign...

 consisting of 12 of the 15 states of the former Soviet Union, (the exceptions being the three Baltic states
Baltic states
The term Baltic states refers to the Baltic territories which gained independence from the Russian Empire in the wake of World War I: primarily the contiguous trio of Estonia, Latvia, Lithuania ; Finland also fell within the scope of the term after initially gaining independence in the 1920s.The...

). Although the CIS has few supranational powers, it is more than a purely symbolic organization and possesses co-ordinating powers in the realm of trade, finance, lawmaking and security. The most significant issue for the CIS is the establishment of a full-fledged free trade zone / economic union between the member states, to be launched in 2005. It has also promoted co-operation on democratization and cross-border crime prevention.

Central European Free Trade Agreement

The Central European Free Trade Agreement
Central European Free Trade Agreement
The Central European Free Trade Agreement is a trade agreement between non-EU countries in Southeast Europe.-Members:As of 1 May 2007, the parties of the CEFTA agreement are: Albania, Bosnia and Herzegovina, Croatia, Macedonia, Moldova, Montenegro, Serbia and UNMIK on behalf of Kosovo.Former...

 (CEFTA) is a trade bloc
Trade bloc
A trade bloc is a type of intergovernmental agreement, often part of a regional intergovernmental organization, where regional barriers to trade, are reduced or eliminated among the participating states.-Description:...

 of former Communist countries in Central and Eastern Europe. The countries that participated and the few continue to participate in CEFTA have used this form of integration to help them prepare for economic consolidation into the EU.

Currency and Central Banks

The most common currency within Europe is the euro, the currency of the European Union. To join, each new EU member must meet certain criteria, when these are met their own currencies will be replaced by the euro. Becoming a member of the EU involves a pledge to work towards Eurozone
Eurozone
The eurozone , officially called the euro area, is an economic and monetary union of seventeen European Union member states that have adopted the euro as their common currency and sole legal tender...

 membership, (except in the cases of the United Kingdom and Denmark who have opt-outs). Currently, 16 of the 27 EU member states use the euro. Each EU member's central bank
Central bank
A central bank, reserve bank, or monetary authority is a public institution that usually issues the currency, regulates the money supply, and controls the interest rates in a country. Central banks often also oversee the commercial banking system of their respective countries...

 is part of the European System of Central Banks
European System of Central Banks
The European System of Central Banks is composed of the European Central Bank and the national central banks of all 27 European Union Member States.-Functions:...

, and in addition, those that use the euro are part of the European Union's central bank, the European Central Bank
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

.

There are some non-EU members who have elected to use the euro as their national currency, either with or without specific agreements with the EU to do so, (those with agreements with the EU may mint their own euro coins
Euro coins
There are eight euro coin denominations, ranging from one cent to two euros . The coins first came into use in 2002. They have a common reverse, portraying a map of Europe, but each country in the eurozone has its own design on the obverse, which means that each coin has a variety of different...

). The French overseas territories and departments of Mayotte and Réunion in the Indian Ocean, Guadeloupe and Martinique in the Caribbean and French Guiana in South America all use the euro, among many other islands in the Pacific, Caribbean and indeed around the globe that are ruled directly by European countries.

Some countries while maintaining their own national currency have pegged its value to the euro. In some of these countries, there is a fixed exchange rate between the national currency and the euro and in this case the currency is actually a submultiple of the euro. In other countries, the national currency's value fluctuates within a band (generally 15%) around a set rate. Currencies pegged to the euro include the currencies of Bulgaria, Lithuania, Bosnia and Herzegovina and Cape Verde. Denmark & Latvia have a foreign exchange band tied to the euro.

The CIS is also planning to introduce a single currency among its members.

Below is a list of the central banks and currencies of Europe, with exchange rates between each currency and both the euro and US dollars as of 1 May 2010.
Country Currency Value in Euro Value in USD Central Bank
Lek
Albanian lek
The lek is the official currency of Albania. It is subdivided into 100 qindarka , although qindarka are no longer issued.-Names:...

0.007 0.009 Bank of Albania
Bank of Albania
-Governors:* Ilir Hoti * Dylber Vrioni * Kristaq Luniku * Qamil Tusha * Prof. Dr. Shkëlqim Cani...

Euro 1.33 (none de jure)/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

 de facto
Dram
Armenian dram
The dram is the monetary unit of Armenia and the Nagorno-Karabakh Republic. It is subdivided into 100 luma . The word "dram" translates into English as "money" and is cognate with the Greek drachma...

0.002 0.003 Central Bank of Armenia
Central Bank of Armenia
The Central Bank of Armenia is the central bank of Armenia with its headquarters in Yerevan. The CBA is an independent institution responsible for issuing all banknotes and coins in the country, overseeing and regulating the banking sector and keeping the government's currency reserves...

Euro 1.33 National Bank of Austria/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Manat
Azerbaijani manat
The Manat is the currency of Azerbaijan. It is subdivided into 100 qəpik. The word manat is borrowed from "moneta" which is pronounced as "maneta"...

0.94 1.25 Central Bank of Azerbaijan
Belarusian ruble
Belarusian ruble
The ruble is the currency of Belarus. The symbol for the ruble is Br and the ISO 4217 code is BYR.-First ruble, 1992–2000:The breakup of supply chain in the former Soviet enterprises demanded that goods be bought and sold on the market, often requiring cash settlement...

0.0003 0.0003 National Bank of the Republic of Belarus
National Bank of the Republic of Belarus
The National Bank of the Republic of Belarus is the central bank of Belarus, located in the capital city, Minsk. The bank was created in 1922 under the name of "Belarusian Republican Bank" by the Soviet of People's Commissars of Beylorussia, but soon worked under the direction of the State Bank of...

Euro 1.33 National Bank of Belgium
National Bank of Belgium
The National Bank of Belgium has been the central bank of Belgium since 1850...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Konvertibilna marka
Bosnia and Herzegovina convertible mark
The Bosnia and Herzegovina convertible mark is the currency of Bosnia and Herzegovina. It is divided into 100 fenings...

0.51 0.68 Central Bank of Bosnia and Herzegovina
Central Bank of Bosnia and Herzegovina
The Central Bank of Bosnia and Herzegovina is the central bank of Bosnia and Herzegovina, located in the capital city, Sarajevo.The Central Bank of Bosnia and Herzegovina was established in accordance with the law adopted at the Parliamentary Assembly of Bosnia and Herzegovina on June 20, 1997...

Lev
Bulgarian lev
The lev is the currency of Bulgaria. It is divided in 100 stotinki . In archaic Bulgarian the word "lev" meant "lion".It is speculated that Bulgaria, as a member of the European Union will adopt the Euro in 2015 .- First lev, 1881–1952 :...

0.51 0.68 Bulgarian National Bank
Bulgarian National Bank
The Bulgarian National Bank is the central bank of the Republic of Bulgaria with its headquarters in Sofia. The BNB has been established on 25 January 1879. It is an independent institution responsible for issuing all banknotes and coins in the country, overseeing and regulating the banking sector...

Kuna
Croatian kuna
The kuna is the currency of Croatia since 1994 . It is subdivided into 100 lipa. The kuna is issued by the Croatian National Bank and the coins are minted by the Croatian Monetary Institute....

0.14 0.18 Croatian National Bank
Croatian National Bank
The Croatian National Bank is the central bank of the Republic of Croatia.HNB was established by the Constitution of Croatia which was passed by the Croatian Parliament on 21 December 1990. Its main responsibilities are maintaining the stability of the national currency, the kuna, and ensuring...

Euro 1.33 Central Bank of Cyprus
Central Bank of Cyprus
The Central Bank of Cyprus , is the central bank of the Republic of Cyprus, located in Nicosia. It was established in 1963. Its current governor is Mr. Athanasios Orphanides...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Koruna
Czech koruna
The Czech koruna or Czech crown has been the currency of the Czech Republic since 8 February 1993 when, together with its Slovak counterpart, it replaced the Czechoslovak koruna at par....

0.04 0.05 Czech National Bank
Czech National Bank
The Czech National Bank is the central bank and financial market supervisor in the Czech Republic with its headquarters in Prague. The Bank's governor is Miroslav Singer. In accordance with its primary objective, the ČNB sets monetary policy, issues banknotes and coins and manages the circulation...

Danish krone
Danish krone
The krone is the official currency of the Kingdom of Denmark consisting of Denmark, the Faroe Islands and Greenland. It is subdivided into 100 øre...

0.1 0.2 Danmarks Nationalbank
Danmarks Nationalbank
Danmarks Nationalbank is the central bank of the Kingdom of Denmark. It is a non-eurozone member of the European System of Central Banks . The bank issues the Danish currency, the krone....

Euro 1.33 Bank of Estonia
Bank of Estonia
The Bank of Estonia , is the central bank of Estonia, which is a member of the European Union organisation and the European System of Central Banks...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Euro 1.33 Bank of Finland
Bank of Finland
The Bank of Finland is the central bank of Finland. It is the fourth oldest central bank in the world.-History:The Bank of Finland was established on 1 March in 1812 in the city of Turku by Alexander I of Russia. In 1819 it was relocated to Helsinki...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Euro 1.33 Banque de France
Banque de France
The Banque de France is the central bank of France; it is linked to the European Central Bank . Its main charge is to implement the interest rate policy of the European System of Central Banks...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Lari
Georgian lari
The lari is the currency of Georgia. It is divided into 100 tetri. The name lari is an old Georgian word denoting a hoard, property, while tetri is an old Georgian monetary term used from the 13th century....

0.4 0.5 National Bank of Georgia
Euro 1.33 Deutsche Bundesbank
Deutsche Bundesbank
The Deutsche Bundesbank is the central bank of the Federal Republic of Germany and as such part of the European System of Central Banks . Due to its strength and former size, the Bundesbank is the most influential member of the ESCB. Both the Deutsche Bundesbank and the European Central Bank are...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Euro 1.33 Bank of Greece
Bank of Greece
The Bank of Greece is the nationalcentral bank of Greece, located in Athens on Panepistimiou Street, with several branches across the country. Founded in 1927...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Forint
Hungarian forint
The forint is the currency of Hungary. It is divided into 100 fillér, although fillér coins are no longer in circulation. The introduction of the forint on 1 August 1946 was a crucial step of the post-WWII stabilization of the Hungarian economy, and the currency remained relatively stable until...

0.004 0.005 Hungarian National Bank
Hungarian National Bank
The Hungarian National Bank is the central bank of Hungary. The principal aim of the bank is to retain price stability. It is also responsible for issuing the national currency, the forint, controlling the cash circulation, setting the Central Bank base rate, publishing official exchange rates...

Króna
Icelandic króna
The króna is the currency of Iceland. The króna is technically subdivided into 100 aurar , but in practice this subdivision is no longer used....

0.01 0.02 Central Bank of Iceland
Central Bank of Iceland
The Central Bank of Iceland is the central bank or reserve bank of Iceland. It has served in this capacity since 1961, when it was created by an act of the Alþingi out of the central banking department of Landsbanki Íslands, which had had the sole right of note issuance since 1927 and had...

Euro 1.33 Central Bank of Ireland/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Euro 1.33 Banca d'Italia
Banca d'Italia
Banca d'Italia is the central bank of Italy and part of the European System of Central Banks. It is located in Palazzo Koch, Roma, via Nazionale...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

 Republic of Kosovo 1.33 Central Bank of Kosovo
Central Bank of Kosovo
The Central Bank of the Republic of Kosovo , formerly known as the Banking and Payments Authority of Kosovo , is the central bank of Republic of Kosovo based in Pristina.The bank's functions include:* regulating payments and settlements systems....

 de jure/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

 de facto
Lats
Latvian lats
The lats is the currency of Latvia. It is abbreviated as Ls. The lats is sub-divided into 100 santīmi ....

1.5 1.9 National Bank of Latvia
Swiss franc
Swiss franc
The franc is the currency and legal tender of Switzerland and Liechtenstein; it is also legal tender in the Italian exclave Campione d'Italia. Although not formally legal tender in the German exclave Büsingen , it is in wide daily use there...

0.7 0.9 (none de jure)/Swiss National Bank
Swiss National Bank
The Swiss National Bank is the central bank of Switzerland. It is responsible for Swiss monetary policy and for issuing Swiss franc banknotes.The names of the institution in the four official languages of the country are: ; ; ; ....

 de facto
Litas
Lithuanian litas
The Lithuanian litas is the currency of Lithuania. It is divided into 100 centų...

0.29 0.35 Bank of Lithuania
Bank of Lithuania
The Bank of Lithuania is the central bank of the Republic of Lithuania. The Bank of Lithuania is a non-Eurozone member of the European System of Central Banks...

Euro 1.33 Central Bank of Luxembourg/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Denar
Macedonian denar
The denar is the currency of the Republic of Macedonia. It is subdivided into 100 deni . The name denar comes from the name of the ancient Roman monetary unit, the denarius...

0.02 0.02 National Bank of the Republic of Macedonia
National Bank of the Republic of Macedonia
The National Bank of the Republic of Macedonia is the central bank of the Republic of Macedonia, located in the capital city, Skopje.The current Governor of the NBRM is Dimitar Bogov, since May 21, 2011.-Functions:...

Euro 1.33 Central Bank of Malta
Central Bank of Malta
The Central Bank of Malta was established on 17 April 1968. In May 2004, when Malta joined the European Union, it became an integral part of the European System of Central Banks. It was responsible for, amongst other things, issuing Maltese lira banknotes and coins, before Malta adopted the euro...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Moldovan leu
Moldovan leu
The leu is the currency of Moldova. Like the Romanian leu, the Moldovan leu is subdivided into 100 bani . The name of the currency originates in Romania and means "lion".-History:...

0.06 0.08 National Bank of Moldova
National Bank of Moldova
The National Bank of Moldova is the central bank of the Republic of Moldova.The National Bank of Moldova is a legal, public, autonomous person responsible to the Parliament. The main objective of the NBM is the achievement and maintenance of the stability of the national currency...

Euro 1.33 (none de jure)/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

 de facto
Euro 1.33 Central Bank of Montenegro
Central Bank of Montenegro
The Central Bank of Montenegro is the central bank of Montenegro. The mission of the central bank is to establish and maintain a sound banking system and monetary policy.-Overview:...

 de jure/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

 de facto
Euro 1.33 De Nederlandsche Bank
De Nederlandsche Bank
De Nederlandsche Bank is the central bank of the Netherlands. It is part of the European System of Central Banks .-History:...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Norwegian krone
Norwegian krone
The krone is the currency of Norway and its dependent territories. The plural form is kroner . It is subdivided into 100 øre. The ISO 4217 code is NOK, although the common local abbreviation is kr. The name translates into English as "crown"...

0.1 0.2 Norges Bank
Złoty 0.26 0.35 National Bank of Poland
National Bank of Poland
Narodowy Bank Polski is the central bank of Poland. It controls the issuing of Poland's currency, the złoty. The Bank is headquartered in Warsaw, and has branches in every major Polish town...

Euro 1.33 Banco de Portugal
Banco de Portugal
The Banco de Portugal is the central bank of the Republic of Portugal. Established by a royal charter of 19 November 1846 to act as a commercial bank and issuing bank, it came about as the result of a merger of the Banco de Lisboa and the Companhia de Confiança Nacional, an investment company...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Romanian leu
Romanian leu
The leu is the currency of Romania. It is subdivided into 100 bani . The name of the currency means "lion". On 1 July 2005, Romania underwent a currency reform, switching from the previous leu to a new leu . 1 RON is equal to 10,000 ROL...

0.29 0.35 National Bank of Romania
Russian ruble
Russian ruble
The ruble or rouble is the currency of the Russian Federation and the two partially recognized republics of Abkhazia and South Ossetia. Formerly, the ruble was also the currency of the Russian Empire and the Soviet Union prior to their breakups. Belarus and Transnistria also use currencies with...

0.03 0.03 Central Bank of the Russian Federation
Central Bank of the Russian Federation
The Bank of Russia or the Central Bank of The Russian Federation is the central bank of The Russian Federation. Its functions are described in the Russian constitution and in the special Federal law...

Euro 1.33 Central Bank of San Marino
Central Bank of San Marino
The Central Bank of San Marino, , is the central bank of San Marino.The bank was created in 2005 . It has been superseded de facto by the European Central Bank...

 de jure/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

 de facto
Dinar
Serbian dinar
The dinar is the currency of Serbia. An earlier currency also called dinar was used in Serbia between 1868 and 1918. The earliest use of the dinar date to 1214. Today's Serbian dinar is a continuation of the last Yugoslav dinar...

0.01 0.02 National Bank of Serbia
National Bank of Serbia
National Bank of Serbia is the central bank of Serbia; its main responsibilities are the protection of price stability and maintenance of financial stability....

Euro 1.33 National Bank of Slovakia
National Bank of Slovakia
National Bank of Slovakia , is the central bank of Slovakia, which is a member of the European Union and the European System of Central Banks. Since 1 January 2009, it has also been a member of Eurosystem.-History:...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Euro 1.33 Bank of Slovenia
Bank of Slovenia
The Bank of Slovenia is the bank of issue and the central bank of the Republic of Slovenia. Based in Ljubljana, it was established on 25 June 1991. Its primary task is to take care of the stability of the domestic currency and to ensure the liquidity of payments within the country and with...

/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Euro 1.33 Bank of Spain/ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

Swedish krona
Swedish krona
The krona has been the currency of Sweden since 1873. Both the ISO code "SEK" and currency sign "kr" are in common use; the former precedes or follows the value, the latter usually follows it, but especially in the past, it sometimes preceded the value...

0.1 0.2 Sveriges Riksbank
Sveriges Riksbank
Sveriges Riksbank, or simply Riksbanken, is the central bank of Sweden and the world's oldest central bank. It is sometimes called the Swedish National Bank or the Bank of Sweden .-History:...

Swiss franc
Swiss franc
The franc is the currency and legal tender of Switzerland and Liechtenstein; it is also legal tender in the Italian exclave Campione d'Italia. Although not formally legal tender in the German exclave Büsingen , it is in wide daily use there...

0.7 0.9 Swiss National Bank
Swiss National Bank
The Swiss National Bank is the central bank of Switzerland. It is responsible for Swiss monetary policy and for issuing Swiss franc banknotes.The names of the institution in the four official languages of the country are: ; ; ; ....

Lira
Turkish lira
The Turkish lira is the currency of Turkey and the de facto independent state of the Turkish Republic of Northern Cyprus. The lira is subdivided into 100 kuruş...

0.5 0.7 Central Bank of the Republic of Turkey
Central Bank of the Republic of Turkey
The Central Bank of the Republic of Turkey is the central bank of Turkey and is founded as a joint stock company with the exclusive right to issue banknotes in Turkey. The preparations to establish a central bank began in 1926, but organization was established on 3 October 1931 and opened...

Hryvnia
Ukrainian hryvnia
The hryvnia, sometimes hryvnya or grivna ; sign: ₴, code: , has been the national currency of Ukraine since September 2, 1996. The hryvnia is subdivided into 100 kopiyok. In medieval times, it was a currency of Kievan Rus'....

0.2 0.2 National Bank of Ukraine
National Bank of Ukraine
National Bank of Ukraine is the central bank of Ukraine. Its headquarters building, constructed between 1902 and 1934, is located at no. 9 Institutska St., in Kiev-History:...

Pound sterling
Pound sterling
The pound sterling , commonly called the pound, is the official currency of the United Kingdom, its Crown Dependencies and the British Overseas Territories of South Georgia and the South Sandwich Islands, British Antarctic Territory and Tristan da Cunha. It is subdivided into 100 pence...

1.17 1.61 Bank of England
Bank of England
The Bank of England is the central bank of the United Kingdom and the model on which most modern central banks have been based. Established in 1694, it is the second oldest central bank in the world...

Euro 1.33 (none de jure)/ ECB
European Central Bank
The European Central Bank is the institution of the European Union that administers the monetary policy of the 17 EU Eurozone member states. It is thus one of the world's most important central banks. The bank was established by the Treaty of Amsterdam in 1998, and is headquartered in Frankfurt,...

 de facto


Table as of 21 November 2010.

Stock exchanges

As of May, 1 2010, five (5) European cities are ranking among the 10 largest financial centers in the world: London (1st), Paris (5th), Frankfurt (6th), Zurich (7th) and Geneva (8th).

There are many stock exchange
Stock exchange
A stock exchange is an entity that provides services for stock brokers and traders to trade stocks, bonds, and other securities. Stock exchanges also provide facilities for issue and redemption of securities and other financial instruments, and capital events including the payment of income and...

s within Europe.
  • Pan-European:
    • Euronext
      Euronext
      Euronext N.V. is a pan-European stock exchange based in Amsterdam and with subsidiaries in Belgium, France, Netherlands, Portugal and the United Kingdom. In addition to equities and derivatives markets, the Euronext group provides clearing and information services...

    • OMX
      OMX
      OMX AB is a Swedish-Finnish financial services company, formed in 2003 through a merger between OM AB and HEX plc and is now a part of the NASDAQ OMX Group since February 2008.It has two divisions, OMX Exchanges, which operates eight stock exchanges mainly in the Nordic and Baltic...

  • Albania:
    • Tirana Stock Exchange
      Tirana Stock Exchange
      The Tirana Stock Exchange is the principal stock exchange in Albania. It is located in the capital city, Tirana. Its name is abbreviated as TSE...

       (TSE)
  • Austria:
    • Wiener Börse
      Wiener Börse
      The Wiener Börse AG is the only stock exchange in Vienna, Austria, and one of the most established exchanges in Eastern- and Southeastern Europe.-History:...

  • Belgium:
    • Euronext Brussels
  • Bosnia and Herzegovina
    • Sarajevo Stock Exchange
      Sarajevo Stock Exchange
      The Sarajevo Stock Exchange or SASE is a stock exchange which operates in Sarajevo, Bosnia and Herzegovina.-History and structure:The Sarajevo Stock Exchange was founded in September 2001 and commenced trading on April 12, 2002, as a central marketplace for trading in securities in the Federation...

    • Banja Luka Stock Exchange
      Banja Luka Stock Exchange
      The Banja Luka Stock Exchange or BLSE is a stock exchange which operates in the city of Banja Luka in the Republika Srpska, Bosnia and Herzegovina.-History:...

  • Bulgaria:
    • Bulgarian Stock Exchange
  • Croatia:
    • Zagreb Stock Exchange
      Zagreb Stock Exchange
      The Zagreb Stock Exchange or ZSE is a stock exchange located in Zagreb, Croatia. It is Croatia's only stock exchange. The exchange trades shares of Croatian companies, as well as bonds and commercial bills....

    • Varaždin Stock Exchange
      Varaždin Stock Exchange
      The Varaždin Stock Exchange or VSE was a stock exchange which operated in Varaždin, Croatia. According to January 2007 issue of Investitor, its market capitalization at the beginning of 2007 amounted to 9.8 billion euro. The VSE was merged into the Zagreb Stock Exchange in March 2007....

  • Cyprus:
    • Cyprus Stock Exchange
      Cyprus Stock Exchange
      The Cyprus Stock Exchange or CSE is a stock exchange located in Nicosia, Cyprus. It was established under the Cyprus Securities and Stock Exchange Law which provides for the development of the securities market in Cyprus and for the establishment and operation of the Cyprus Stock Exchange, and was...

       (CSE)
  • Czech Republic:
    • Prague Stock Exchange
      Prague Stock Exchange
      The Prague Stock Exchange or PSE is the Czech Republic's main securities market and currently the second biggest stock exchange in Central and Eastern Europe...

       (PSE)
  • Denmark:
    • Copenhagen Stock Exchange
      Copenhagen Stock Exchange
      The Copenhagen Stock Exchange or CSE is an international marketplace for Danish securities, including shares, bonds, treasury bills and notes, and financial futures and options...

       (KFX) (part of OMX)
  • Estonia:
    • Tallinn Stock Exchange
      Tallinn Stock Exchange
      The Tallinn Stock Exchange is a stock exchange operating in Tallinn, Estonia. It is one of the OMX Exchanges, which also operates Helsinki Stock Exchange and Stockholm Stock Exchange and is the only regulated exchange in Estonia. It has a pre-market session from 09:00 to 10:00, a normal trading...

       (part of OMX)
  • Faroe Islands
    Faroe Islands
    The Faroe Islands are an island group situated between the Norwegian Sea and the North Atlantic Ocean, approximately halfway between Scotland and Iceland. The Faroe Islands are a self-governing territory within the Kingdom of Denmark, along with Denmark proper and Greenland...

    :
    • Faroese Securities Market
      Faroese Securities Market
      Virðisbrævamarknaður Føroya was founded March 31, 2004. Technical operator for the market is the Iceland Stock Exchange.-External links:*...

      , in cooperation with Iceland Stock Exchange
  • Finland:
    • Helsinki Stock Exchange
      Helsinki Stock Exchange
      The Helsinki Stock Exchange is a stock exchange located in Helsinki, Finland. Since 3 September 2003 it has been part of OMX, referred to as OMX Helsinki . Since NASDAQ's acquisition of OMX in February 2008, the official name of the Helsinki exchange has been NASDAQ OMX Helsinki.- History :The...

       (part of OMX)
  • France:
    • Euronext Paris
      Euronext Paris
      Euronext Paris is France's securities market, formerly known as the Paris Bourse, which merged with the Amsterdam, Lisbon and Brussels exchanges in September 2000 to form Euronext NV, which is the second largest exchange in Europe behind the UK's London Stock Exchange...

       ("La Bourse de Paris") (CAC40)
  • Georgia
    • Georgian Stock Exchange
      Georgian Stock Exchange
      The Georgian Stock Exchange is the principal stock exchange in the country of Georgia. It was created by the "Joint Stock Company Georgian Stock Exchange Charter" which was registered and approved in 1999...

       (GSE)
  • Germany:
    • Frankfurt Stock Exchange
      Frankfurt Stock Exchange
      The Frankfurt Stock Exchange is the world's 12th largest stock exchange by market capitalization. Located in Frankfurt am Main, Germany, the Frankfurt Stock Exchange is owned and operated by Deutsche Börse, which also owns the European futures exchange Eurex and the clearing company...

       (part of Deutsche Börse
      Deutsche Börse
      Deutsche Börse AG is a marketplace organizer for the trading of shares and other securities. It also is a transaction services provider. It gives companies and investors access to global capital markets. It is a joint stock company and was founded in 1993. The headquarters are in Frankfurt,...

      ) (DAX
      DAX
      The DAX is a blue chip stock market index consisting of the 30 major German companies trading on the Frankfurt Stock Exchange. Prices are taken from the electronic Xetra trading system...

      )
  • Greece:
    • Athens Stock Exchange
      Athens Stock Exchange
      The Athens Stock Exchange or ASE or ATHEX is a stock exchange located in Athens, Greece.-History:The Athens Stock Exchange started trading in 1876. The Athens Stock Exchange is a subsidiary of Hellenic Exchanges S.A., whose shares are listed in ATHEX...

       (General)
  • Hungary:
    • Budapest Stock Exchange
      Budapest Stock Exchange
      The Budapest Stock Exchange was re-opened in 1990 with headquarters in Budapest, Hungary.BSE is the key institution of the Hungarian Financial market and the official trading venue for publicly offered securities....

       (BSE)
  • Iceland:
    • Iceland Stock Exchange
      Iceland Stock Exchange
      NASDAQ OMX Iceland or ICEX was established in 1985 as a joint venture of several banks and brokerage firms on the initiative of the central bank. Trading began in 1986 in Icelandic government bonds, and trading in equities began in 1990. Equities trading increased rapidly thereafter...

       (Kauphöll Íslands)
  • Ireland:
    • Irish Stock Exchange
      Irish Stock Exchange
      -History:The Irish Stock Exchange is Ireland's only stock exchange and has been in existence since 1793. It is an Irish private company limited by guarantee. It was first recognised by legislation in 1799 when the Irish Parliament passed the Stock Exchange Act...

       (ISEQ)
  • Italy:
    • Borsa Italiana
      Borsa Italiana
      The Borsa Italiana S.p.A., based in Milan, is Italy's main stock exchange. It was privatised in 1997 and is a part of the London Stock Exchange Group plc since 2007. In 2005, the companies listed on the Borsa were worth US$890 billion...

       (FTSE MIB)
  • Latvia:
    • Riga Stock Exchange
      Riga Stock Exchange
      The Riga Stock Exchange now "NASDAQ OMX Riga" is the sole stock exchange operating in Riga, Latvia. It is owned by NASDAQ OMX, which also operates exchanges in the USA, Denmark, Sweden, Finland, Iceland, Armenia, Lithuania, and Estonia...

       (part of OMX)
  • Lithuania:
    • Vilnius Stock Exchange
      Vilnius Stock Exchange
      The NASDAQ OMX Vilnius is a stock exchange established in 1993 operating in Vilnius, Lithuania. It is owned by OMX, which also operates Helsinki Stock Exchange and Stockholm Stock Exchange....

       (part of OMX)
  • Luxembourg:
    • Luxembourg Stock Exchange
      Luxembourg Stock Exchange
      The Luxembourg Stock Exchange is a stock exchange based in Luxembourg City, in southern Luxembourg.The Exchange is located on avenue de la Porte-Neuve,...

  • Macedonia:
    • Macedonia Stock Exchange
  • Malta:
    • Malta Stock Exchange
      Malta Stock Exchange
      The Malta Stock Exchange is a small but active stock exchange based in Malta's capital, Valletta. It oversees the trading of a handful of important stocks and is the marketplace for Malta's bond market....

  • Montenegro
    • Montenegro Stock Exchange
      Montenegro Stock Exchange
      The Montenegro Stock Exchange is a stock exchange located in Podgorica, Montenegro. It is Montenegro's only stock exchange.The MNSE was founded 1993, and is a member of the WFE, FESE and FEAS...

  • Netherlands:
    • Euronext Amsterdam
  • Norway:
    • Oslo Stock Exchange
      Oslo Stock Exchange
      The Oslo Stock Exchange serves as the main market for trading in the shares of Norwegian companies. It opens at 9:00am and closes 5:30pm local time...

  • Portugal:
    • Euronext Lisbon
      Euronext Lisbon
      Euronext Lisbon is a stock exchange in Lisbon, Portugal. It belongs to the NYSE Euronext group, the first global stock exchange.Euronext Lisbon trades equities, public and private bonds, participation bonds, warrants, corporate warrants, investment trust units, and exchange traded funds...

       (PSI-20
      PSI-20
      The PSI-20 is a benchmark stock market index of companies that trade on Euronext Lisbon, the main stock exchange of Portugal. The index tracks the prices of the twenty listings with the largest market capitalisation and share turnover in the PSI Geral, the general stock market of the Lisbon exchange...

      )
  • Poland:
    • Warsaw Stock Exchange
      Warsaw Stock Exchange
      The Warsaw Stock Exchange , , is a stock exchange located in Warsaw, Poland. It has a capitalization of € 220 bln .The WSE is a member of the World Federation of Exchanges and the Federation of European Securities Exchanges.-History:...

       (WSE)
  • Romania:
    • Bucharest Stock Exchange
      Bucharest Stock Exchange
      The Bucharest Stock Exchange is a stock exchange in Bucharest, capital of Romania. On December 1, 2005, Bucharest's electronic over-the-counter stock market, Rasdaq, was merged with the Bucharest Stock Exchange....

       (BSE)
    • Sibiu Stock Exchange
      Sibiu Stock Exchange
      The Sibiu Monetary Financial and Commodities Exchange is Romania's second largest financial market. It was founded in December 1994 in the historical city of Sibiu, Transylvania by 11 initial shareholders, its main activity was trading commodities on the spot market...

       (SIBEX)
  • Russia:
    • Moscow Interbank Currency Exchange
      Moscow Interbank Currency Exchange
      The Moscow Interbank Currency Exchange or MICEX is one of the largest universal stock exchanges in the Russian Federation and East Europe. MICEX opened in 1992 and is the leading Russian stock exchange...

       (MICEX)
    • RTS Stock Exchange
  • Serbia:
    • Belgrade Stock Exchange
      Belgrade Stock Exchange
      The Belgrade Stock Exchange is a stock exchange in Belgrade, Serbia.-History:The first ideas about establishing an institution which would control the movement of the value of money appeared in Serbia in the 1830s. The Serbian Trading Association, important for the development of the entire...

       (BELEX)
  • Slovakia:
    • Bratislava Stock Exchange
      Bratislava Stock Exchange
      Bratislava Stock Exchange is a Stock Exchange in Bratislava, that began its existence on 15 March 1991 according to adjudication of Ministry of Finance of Slovakia in 1990. BSSE is the only organizer of the market with the security papers in Slovakia...

       (BSSE)
  • Slovenia:
    • Ljubljana Stock Exchange
      Ljubljana Stock Exchange
      -About the Ljubljana Stock Exchange:The core business of the Ljubljana stock exchange is to ensure a secure, efficient and successful operation of the regulated segment of the Slovene capital market, in accordance with the law and other regulations.LJSE performs the following business activities:*...

       (LJSE)
  • Spain:
    • Madrid Stock Exchange (IBEX 35)
  • Sweden:
    • Nordic Growth Market
    • Stockholm Stock Exchange
      Stockholm Stock Exchange
      The Stockholm Stock Exchange is a stock exchange located in Stockholm, Sweden. Founded in 1863 it is the primary securities exchange of the Nordic Countries....

       (part of OMX)
  • Switzerland:
    • SWX Swiss Exchange
      SWX Swiss Exchange
      SIX Swiss Exchange , based in Zurich, is Switzerland's principal stock exchange . SIX Swiss Exchange also trades other securities such as Swiss government bonds and derivatives such as stock options.The main stock market index for the SIX Swiss Exchange is the SMI, the Swiss Market Index...

  • Turkey:
    • Istanbul Stock Exchange
      Istanbul Stock Exchange
      The Istanbul Stock Exchange is the only corporation in Turkey for securities exchange established to provide trading in equities, bonds and bills, revenue-sharing certificates, private sector bonds, foreign securities and real estate certificates as well as international securities. The ISE was...

       (ISE)
  • Ukraine:
    • PFTS Ukraine Stock Exchange
      PFTS Ukraine Stock Exchange
      The PFTS Stock Exchange is the larger of Ukraine's two main stock exchanges .The trading occures on working days between 11:00 and 17:00 Kiev time . The PFTS index is calculated based on the results of the trading. Daily trade volume is about $30–60 million...

    • Ukrainian Stock Exchange
  • United Kingdom:
    • Alternative Investment Market
      Alternative Investment Market
      AIM is a sub-market of the London Stock Exchange, allowing smaller companies to float shares with a more flexible regulatory system than is applicable to the main market....

       (AIM)
    • London Stock Exchange
      London Stock Exchange
      The London Stock Exchange is a stock exchange located in the City of London within the United Kingdom. , the Exchange had a market capitalisation of US$3.7495 trillion, making it the fourth-largest stock exchange in the world by this measurement...

       (LSE) (FTSE
      FTSE
      FTSE may refer to:* The FTSE Group* Stock market indices published by the FTSE Group, particularly the FTSE 100 Index on the London Stock Exchange* The Fundamental theorem of software engineering...

      )

Agriculture and fishing

Europe's agricultural sector is in general highly developed. The process of improving Central Europe's agriculture is ongoing and is helped by the accession of Central European states to the EU. The agricultural sector in Europe is helped by the Common Agricultural Policy
Common Agricultural Policy
The Common Agricultural Policy is a system of European Union agricultural subsidies and programmes. It represents 48% of the EU's budget, €49.8 billion in 2006 ....

 (CAP), which provides farmers with a minimal price for their products and subsidizes their exports, which increases competitiveness for their products. This policy is highly controversial as it hampers free trade
Free trade
Under a free trade policy, prices emerge from supply and demand, and are the sole determinant of resource allocation. 'Free' trade differs from other forms of trade policy where the allocation of goods and services among trading countries are determined by price strategies that may differ from...

 worldwide (protectionism
Protectionism
Protectionism is the economic policy of restraining trade between states through methods such as tariffs on imported goods, restrictive quotas, and a variety of other government regulations designed to allow "fair competition" between imports and goods and services produced domestically.This...

 sparks protectionism from other countries and trade blocs: the concept of trade war
Trade war
A trade war refers to two or more states raising or creating tariffs or other trade barriers on each other in retaliation for other trade barriers...

s) and is violating the concept of fair trade. This means because of the protectionist nature of the CAP, agricultural products from developing countries
Developing country
A developing country, also known as a less-developed country, is a nation with a low level of material well-being. Since no single definition of the term developing country is recognized internationally, the levels of development may vary widely within so-called developing countries...

 are rendered incompetitive in both Europe (an important export market for developing countries) and on their home markets (as European agricultural products are dumped
Dumping
Dumping may refer to a subject......in computing:*Recording the contents of memory after application or operating system failure, or by operator request, in a core dump for use in subsequent problem analysis.*Recording a file or medium as a backup....

 on developing countries' markets with help from European agricultural subsidies). This controversy surrounds every system of agricultural subsidies (the United States' policy of subsidizing farmers is also controversial). The CAP is also controversial because 40% of the EU's budget is spent on it, and because of the overproduction
Overproduction
In economics, overproduction, oversupply or excess of supply refers to excess of supply over demand of products being offered to the market...

 caused by it.

The Common Fisheries Policy
Common Fisheries Policy
The Common Fisheries Policy is the fisheries policy of the European Union . It sets quotas for which member states are allowed to catch what amounts of each type of fish, as well as encouraging the fishing industry by various market interventions...

 is surrounded by an extensive system of rules (mainly consisting of quota
Individual fishing quota
Individual fishing quotas also known as "individual transferable quotas" are one kind of catch share, a means by which many governments regulate fishing. The regulator sets a species-specific total allowable catch , typically by weight and for a given time period. A dedicated portion of the TAC,...

s) to protect the environment from overfishing
Overfishing
Overfishing occurs when fishing activities reduce fish stocks below an acceptable level. This can occur in any body of water from a pond to the oceans....

. Despite these rules, the cod
Cod
Cod is the common name for genus Gadus, belonging to the family Gadidae, and is also used in the common name for various other fishes. Cod is a popular food with a mild flavor, low fat content and a dense, flaky white flesh. Cod livers are processed to make cod liver oil, an important source of...

 is becoming increasingly rare in the North Sea
North Sea
In the southwest, beyond the Straits of Dover, the North Sea becomes the English Channel connecting to the Atlantic Ocean. In the east, it connects to the Baltic Sea via the Skagerrak and Kattegat, narrow straits that separate Denmark from Norway and Sweden respectively...

 resulting in drastic shortages of Fish & Chips in countries such as Canada and the United Kingdom. Strict fishing rules are the main reason for Norway and Iceland to stay out of the European Union (and out of the Common Fisheries Policy). Price guarantees and subsidizations of fishermen are implemented in the same way as agricultural subsidies are. Bluefin tuna is also a problem. Global stocks of the species are overfished with extinction in the wild a possibility in the near future. This also has the negative effect of threatening their traditional, natural predators.

Manufacturing

Europe has a thriving manufacturing sector, with a large part of the world's industrial production taking place in Europe. Most of the continent's industries are concentrated in Southern England
England
England is a country that is part of the United Kingdom. It shares land borders with Scotland to the north and Wales to the west; the Irish Sea is to the north west, the Celtic Sea to the south west, with the North Sea to the east and the English Channel to the south separating it from continental...

, the Benelux
Benelux
The Benelux is an economic union in Western Europe comprising three neighbouring countries, Belgium, the Netherlands, and Luxembourg. These countries are located in northwestern Europe between France and Germany...

, Germany, north-eastern France, Switzerland, and northern Italy). However, because of the higher wage level and hence production costs, Europe is suffering from deindustrialization
Deindustrialization
Deindustrialization is a process of social and economic change caused by the removal or reduction of industrial capacity or activity in a country or region, especially heavy industry or manufacturing industry. It is an opposite of industrialization.- Multiple interpretations :There are multiple...

 and offshoring
Offshoring
Offshoring describes the relocation by a company of a business process from one country to another—typically an operational process, such as manufacturing, or supporting processes, such as accounting. Even state governments employ offshoring...

 in the labour intensive manufacturing sectors. This means that manufacturing has become less important and that jobs are moved to cheaper regions (mainly China and Central and Eastern Europe).

Central Europe (Berlin, Saxony, the Czech Republic and Little Poland) was largely industrialised by 1850 but Eastern Europe (European Russia) begun industrialisation between 1890-1900 and intensified it during the communist regime (as USSR) but it suffered from contraction in the 1990s when the inefficient heavy industry based manufacturing sector crippled after the collapse of communism and the introduction of the market economy.

In the 21st century the manufacturing sector in Central and Eastern Europe picked up because of the accession of ten formerly Communist European states to the EU and resulting accession to the European Common Market. This caused firms within the European Union to move jobs from their manufacturing sector to Central European countries such as Poland (see above), which sparked both Central and Eastern European industrial growth and employment.

According to Fortune Global 500
Fortune Global 500
The Fortune Global 500 is a ranking of the top 500 corporations worldwide as measured by revenue. The list is compiled and published annually by Fortune magazine....

, 195 of the top 500 companies are headquartered in Europe. The main products in European industry are bicycles, rail, machinery, marine, aerospace equipment, food, chemical and pharmaceutical goods, journalism, software and electronics. Europe no longer makes many kinds of TVs and there are other gaps in the product lineup.

Investing and banking

Europe has a well-developed financial sector. Many European cities are financial centres with the City of London
City of London
The City of London is a small area within Greater London, England. It is the historic core of London around which the modern conurbation grew and has held city status since time immemorial. The City’s boundaries have remained almost unchanged since the Middle Ages, and it is now only a tiny part of...

 being the largest. The European financial sector is helped by the introduction of the euro as common currency. This has made it easier for European households and firms to invest in companies and deposit money on banks in other European countries. Exchange rate fluctuations are now non-existent in the Eurozone
Eurozone
The eurozone , officially called the euro area, is an economic and monetary union of seventeen European Union member states that have adopted the euro as their common currency and sole legal tender...

. The financial sector in Central and Eastern Europe is helped by economic growth in the region and the commitment of Central and Eastern European governments to achieve high standards.

European banks are amongst the largest and most profitable in the world (BNP Paribas
BNP Paribas
BNP Paribas S.A. is a global banking group, headquartered in Paris, with its second global headquarters in London. In October 2010 BNP Paribas was ranked by Bloomberg and Forbes as the largest bank and largest company in the world by assets with over $3.1 trillion. It was formed through the merger...

, Credit Agricole
Crédit Agricole
Crédit Agricole S.A. is the largest retail banking group in France, second largest in Europe and the eighth largest in the world by Tier 1 capital according to The Banker magazine. It is also part of the CAC 40 stock market index....

, Societe Generale
Société Générale
Société Générale S.A. is a large European Bank and a major Financial Services company that has a substantial global presence. Its registered office is on Boulevard Haussmann in the 9th arrondissement of Paris, while its head office is in the Tours Société Générale in the business district of La...

, Royal Bank of Scotland
Royal Bank of Scotland
The Royal Bank of Scotland Group is a British banking and insurance holding company in which the UK Government holds an 84% stake. This stake is held and managed through UK Financial Investments Limited, whose voting rights are limited to 75% in order for the bank to retain its listing on the...

, Deutsche Bank
Deutsche Bank
Deutsche Bank AG is a global financial service company with its headquarters in Frankfurt, Germany. It employs more than 100,000 people in over 70 countries, and has a large presence in Europe, the Americas, Asia Pacific and the emerging markets...

, UBS, National Trust
National Trust
National Trust most commonly refers to an organization dedicated to preserving the cultural or environmental treasures of a particular geographic region. They generally operate as private non-profit organizations, although some receive considerable support from their national government...

, HSBC
HSBC
HSBC Holdings plc is a global banking and financial services company headquartered in Canary Wharf, London, United Kingdom. it is the world's second-largest banking and financial services group and second-largest public company according to a composite measure by Forbes magazine...

, Grupo Santander
Grupo Santander
The Santander Group is a banking group centered on Banco Santander, S.A., the largest bank in the Eurozone and one of the largest banks in the world in terms of market capitalisation. According to Forbes Magazine Global 2000, it is the 13th largest public company in the world...

, BBVA, HBOS
HBOS
HBOS plc is a banking and insurance company in the United Kingdom, a wholly owned subsidiary of the Lloyds Banking Group having been taken over in January 2009...

, Unicredit
UniCredit
UniCredit SpA is an Italy-based, pan-European banking organization, with aprox 40 million customers and operations in 22 countries.- Geography :...

).

Global trade relations

The bulk of the EU's external trade is done with China, Mercosur and the United States, Japan, Russia and non-member European states.

EU members are represented by a single official at the WTO
World Trade Organization
The World Trade Organization is an organization that intends to supervise and liberalize international trade. The organization officially commenced on January 1, 1995 under the Marrakech Agreement, replacing the General Agreement on Tariffs and Trade , which commenced in 1948...

.

The EU is involved in a few minor trade disputes. It had a long running dispute with the USA of allegedly unfair subsidies the US government gives to several companies, such as Boeing
Boeing
The Boeing Company is an American multinational aerospace and defense corporation, founded in 1916 by William E. Boeing in Seattle, Washington. Boeing has expanded over the years, merging with McDonnell Douglas in 1997. Boeing Corporate headquarters has been in Chicago, Illinois since 2001...

. The EU has a long running ban prohibiting arms trade with the Chinese. The EU issued a brief accusing Microsoft of predatory and monopolistic practices.

See also

  • Commonwealth of Independent States
    Commonwealth of Independent States
    The Commonwealth of Independent States is a regional organization whose participating countries are former Soviet Republics, formed during the breakup of the Soviet Union....

  • European Economic Area
    European Economic Area
    The European Economic Area was established on 1 January 1994 following an agreement between the member states of the European Free Trade Association and the European Community, later the European Union . Specifically, it allows Iceland, Liechtenstein and Norway to participate in the EU's Internal...

  • Free trade areas in Europe
  • European Free Trade Association
    European Free Trade Association
    The European Free Trade Association or EFTA is a free trade organisation between four European countries that operates parallel to, and is linked to, the European Union . EFTA was established on 3 May 1960 as a trade bloc-alternative for European states who were either unable to, or chose not to,...

  • Central European Free Trade Agreement
    Central European Free Trade Agreement
    The Central European Free Trade Agreement is a trade agreement between non-EU countries in Southeast Europe.-Members:As of 1 May 2007, the parties of the CEFTA agreement are: Albania, Bosnia and Herzegovina, Croatia, Macedonia, Moldova, Montenegro, Serbia and UNMIK on behalf of Kosovo.Former...

  • European Union
    European Union
    The European Union is an economic and political union of 27 independent member states which are located primarily in Europe. The EU traces its origins from the European Coal and Steel Community and the European Economic Community , formed by six countries in 1958...

  • Regions of Europe
    Regions of Europe
    Europe is often divided into regions due to geographical, cultural or historical criteria. Some common divisions are as follows.-Directional divisions:...

  • History of Europe
    History of Europe
    History of Europe describes the history of humans inhabiting the European continent since it was first populated in prehistoric times to present, with the first human settlement between 45,000 and 25,000 BC.-Overview:...

  • Industrial Revolution
    Industrial Revolution
    The Industrial Revolution was a period from the 18th to the 19th century where major changes in agriculture, manufacturing, mining, transportation, and technology had a profound effect on the social, economic and cultural conditions of the times...

  • Organization for Security and Co-operation in Europe statistics
    Organization for Security and Co-operation in Europe statistics
    1 These countries are currently not participating in the EU's single market , but the EU has common external Customs Union agreements with Turkey , Andorra and San Marino . Monaco participates in the EU customs union through its relationship with France; its ports are administered by the French...

  • International organisations in Europe
    International organisations in Europe
    The following table lists the independent European states, and their memberships in selected organisations and treaties.1 These countries are currently not participating in the EU's single market , but the EU has common external Customs Union agreements with Turkey , Andorra and San Marino...

  • List of European countries by budget revenues
  • List of European countries by budget revenues per capita
  • List of European countries by GDP (nominal)
  • List of European countries by GDP (PPP)
  • List of European countries by GDP (nominal) per capita
  • List of European countries by GDP (PPP) per capita
  • List of European countries by GNI (nominal) per capita
  • List of European countries by GNI (PPP) per capita
  • List of sovereign states in Europe by minimum wage
  • Oil price increases since 2003
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