The Estonian monetary unit refers to the official currency of Estonia, which is the euro (€). Introduced in 2011 as part of Estonia's adoption of the single currency, the monetary unit serves as a medium of exchange and store of value within the Baltic nation. It is the legal tender accepted for conducting financial transactions, including buying and selling goods and services.
Symbolized by the euro sign (€), the Estonian monetary unit is subdivided into 100 cents. Estonian coins are available in denominations of 1, 2, 5, 10, 20, and 50 cents, as well as 1 and 2 euros. Banknotes, on the other hand, are available in values of 5, 10, 20, 50, 100, 200, and 500 euros. These physical representations of the Estonian monetary unit are issued by the European Central Bank (ECB) and are widely circulated throughout Estonia.
As an integral part of Estonia's economy, the monetary unit plays a fundamental role in domestic and international trade, investment, and financial stability. Its value is determined by various factors including market forces, interest rates, inflation, and overall economic conditions. The Estonian monetary unit is subject to monetary policies established by the ECB, which aim to maintain price stability and support sustainable economic growth within the Eurozone.
Overall, the Estonian monetary unit serves as the key instrument in facilitating economic transactions and representing the economic strength of Estonia within the European Union and international markets.
