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European Monetary Union (EMU) definition

European Monetary Union (EMU)

An umbrella name for the group of policies that aims to coordinate economic and fiscal policies across EU Member States.

The EMU was formed in 1992 and was enshrined in the Treaty on European Union or the Maastricht Treaty. The policies of the EMU are aimed at establishing free trading among EU member states and was also the body behind the adoption of the euro currency.

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