Proposal for a Council Decision on the adoption by Lithuania of the euro on 1 January 2015

Articles 140(1) of the Treaty on the Functioning of the European Union ('the Treaty') provides that at least once every two years or at the request of a Member State with a derogation, the Commission and the European Central Bank have to report to the Council on the progress made in the fulfilment by Member States with a derogation of their obligations regarding the achievement of economic and monetary union. Based on its own report and that of the ECB, the Commission should submit to the Council a proposal for a Council decision, in accordance to the procedure laid down in Article 140(2) of the Treaty, to abrogate the derogation of the Member States fulfilling the necessary conditions.

Both the Commission and the ECB Convergence Reports were released on 4 June 2014. The reports include an examination of the compatibility between Lithuania's national legislation, including the statutes of its national central bank, with Articles 130 and 131 of the Treaty and the Statute of the ESCB and of the ECB. The reports also examine the achievement of a high degree of sustainable convergence by reference to the fulfilment of the convergence criteria and take account of several other factors required under the final sub-paragraph of Article 140(1) of the Treaty.

In its Convergence Report, the Commission concludes that Lithuania fulfils the conditions for the adoption of the euro. On the basis of its report and that of the ECB, the Commission has adopted the attached proposal for a Council decision to abrogate the derogation of Lithuania with effect from 1 January 2015.

See also:
- Proposal for a Council Regulation amending Regulation (EC) No 974/98 as regards the introduction of the euro in Lithuania

• Primary Source

EUR-Lex: COM(2014)324: Follow the progress of this proposal through the decision-making procedure http://eur-lex.europa.eu/legal-content/EN/HIS/?uri=COM:2014:324:FIN

ESO: Background information: Commission assesses eight EU countries’ readiness to join the euro area; proposes that Lithuania join in 2015 http://www.europeansources.info/record/press-release-commission-assesses-eight-eu-countries-readiness-to-join-the-euro-area-proposes-that-lithuania-join-in-2015/

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