Lithuania became the 19th member state of the euro area

Lithuania to the euro. Lithuanian people.

On 1 January 2015 Lithuania became the 19th member state of the euro area, with euro coins and banknotes entering circulation on the same day. The country joined a number of euro area institutions and euro-related governance structures.

Joining the euro area will attract investment and help companies grow. It will mean more security and stability as well. And it will make life easier for ordinary citizens, for example, when travelling or buying on-line.

As of 1 January Lithuania is member of the euro area's central banking system – the Eurosystem, which is composed of the European Central Bank and the national central banks of the eurozone member states.

In addition, Lithuania automatically became a member of the banking union, the EU-level banking supervision and resolution system, established last year.

The chairperson of Bank of Lithuania's governing board is now a member of the Governing Council of the European Central Bank. Lithuania's finance minister will participate in the Eurogroup meetings, and the country's president will join the Euro Summit meetings.

'Big bang' scenario 

Lithuania chose the so-called 'big-bang' scenario for the adoption of the euro, which meant introducing the euro coins and banknotes on the same day as it joined the eurozone. This scenario has been chosen by all the EU member states that have joined the euro area since 2002.

The period of dual circulation – the time duting which both the euro and the national currency (litas) can be used to pay for goods and services– is 15 calendar days.

The irreversible conversion rate was decided by the Council in July 2014 – it has been set at 3.45280 litas to 1 euro. This is the same as the central rate of the litas in the EU's exchange rate mechanism, which the Lithuanian currency joined in 2004.

The Bank of Lithuania will change unlimited amounts of litas into euro for an unlimited period of time and free of charge.

According to the Bank of Lithuania, 370 million euro coins and 132 million euro banknotes of various denominations were needed to replace the litas coins and banknotes in circulation, and for the stocks that are considered necessary in 2015.

The historic coat of arms

The reverse of the Lithuanian euro coins will feature Vytis - an armoured knight on a horseback, which is also the symbol on the coat-of-arms of Lithuania. It has featured on Lithuanian coins since the 14th century, and was first recorded as the coat-of-arms symbol in 1366.

The choice of Vytis for the euro coins was made by the population of Lithuania in an opinion poll organised by the Bank of Lithuania as long ago as 2004. The design is by sculptor Antanas Žukauskas, and the coins were minted by the Lithuanian Mint, which started this work following the Council of the EU decision in July 2014.

The euro coins are produced by the euro area member states, according to the volumes approved by the ECB each year. Many countries produce them in their national mints.

The European Commission welcomes Lithuania as member of the Eurozone

European Commission President Jean-Claude Juncker welcomed Lithuania as a new member state of the Eurozone.

Valdis Dombrovskis, Vice-President of the European Commission responsible for the Euro and Social Dialogue, said: "I want to warmly welcome Lithuania to the euro. Lithuania's accession marks the completion of the Baltic States' journey back to the political and economic heart of our continent. This is a symbolic moment not only for Lithuania, but also for the euro area itself, which remains stable, attractive and open to new members. I am convinced that the Baltic States' membership in the euro area will strengthen the economy of the region by making it even more attractive to businesses, trade and investment."

Pierre Moscovici, Commissioner for Economic and Financial Affairs, Taxation and Customs, said: "In joining the euro, the Lithuanian people are choosing to be part of an area of stability, security and prosperity. Lithuania has a strong track record of sound fiscal policies and structural reforms, which have delivered some of the highest growth rates in Europe, coupled with steadily falling unemployment. The country is well-placed to thrive in the euro area."