Sweden and the Euro: Yes or No?

Hard on the heels of the British decision to delay application to join the euro currency zone comes a Swedish referendum on the same issue. With four new European Union members in the neighbourhood, much is at stake. The euro could become a major unifying force in the Baltic and a valuable economic stimulant.

The World Today Updated 21 October 2020 Published 1 August 2003 4 minute READ

Graeme D. Eddie

Edinburgh University

Swedes go to the polls on September 14 to decide whether to adopt the euro. The result of the referendum may be close. A poll published in late June showed support for the euro at thirty five percent, a no-vote of fifty one percent, and fourteen percent still undecided.

If there is a no-vote, by 2007 Sweden, Denmark and Russia could be the only countries around the Baltic not using the euro. If it is yes, and if the European Union (EU) decides that Sweden has fulfilled the necessary conditions to adopt the currency, the krona could disappear in 2006.

The no-campaign led by the Green and Left parties includes those from other parties critical of European monetary union (EMU). There are worries over loss of power, remoteness from decision-making, lessening of democracy, higher unemployment, and the loss of traditional Scandinavian welfare values.

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