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Prior to 2002, most European countries operated with independent currencies, such as the French franc, Italian lira, and Finnish markka, complicating trade and travel. Currency exchange often involved fees and varying values, leading to confusion over spending amounts—like the vast disparity between the high-denomination Italian lira and the lower-value French franc. This complexity underscored the need for a shared currency, a concept long discussed and pursued. The euro was officially introduced for non-cash transactions on January 1, 1999, streamlining transactions across member countries and addressing the challenges of diverse national currencies.
