European Union |
Monaco |
Relations between Monaco and the European Union (EU) are primarily conducted through France. Through that relationship Monaco directly participates in certain EU policies. Monaco is an integral part of the EU customs territory & VAT area and applies most measures on VAT and Excise duties (particularly relating to free movement in the EU.[1]
However this relationship does not extend to external trade. Preferential trade agreements between the EU and third countries apply only to goods originating from the customs territory - Monaco may not claim EU origin in this respect.[1]
Monaco is a de facto member of the Schengen area (its borders and customs territory are treated as part of France) and it officially uses the euro as its sole currency. It uses the euro via an agreement with the EU and France and is allowed by the EU to mint its own coins. Monaco uses the euro as it previously had its currency tied 1:1 with the French franc.[1]
The two have also concluded agreements on the application of Community legislation to pharmaceuticals, cosmetic products and medical devices (this entered into force on 1 May 2004); and on savings taxation (in force since 1 July 2005).[1]
|
||||||||||