European Economic Community (EEC)
The European Economic Community (ECC) now referred to as the Enropean Union (EU) was established in 1958 under the Treaty of Rome of I957. It has a membership of twelve countries at present. The number is likely to grow as the years roll by.
The European Union has done a lot over the years to improve the economic development of member nations. It is also making efforts to harmonize its monetary and political systems.
The Maastricht Treaty of December 1993 was aimed at expanding economic integration and setting up economic, monetary and political unions within the twelve nation European community.
The European Currency Unit (ECU) was introduced in 1979 as a unit of account for the European Monetary System.
At the moment the European Community Central Banks use it primarily for making payments between one another thereby promoting inter-community trade relationships. The Euro, which is the union’s unit of account, was introduced on January 1, 1999.
Aims and Objectives of the European Union (EU)
- Eventual elimination of trade barriers among member nations.
- Floating of European Investment Bank to accelerate the pace of economic growth in member countries.
- Establishment and maintenance of common trade barriers against non-member nations.
- Establishment of European Social Security Fund purposely to provide employment opportunities for their citizens and to enhance their living standard.
- Adoption of common policies by member nations on agriculture, industry and transportation.