On 1 January 2008, Cyprus and Malta will become euro-area members. The national currency of these countries will be in dual
circulation with the euro until 31 January 2008.
As of 1 January 2008, Cyprus and Malta will adopt the euro
as both account money and cash. Cyprus pounds will be exchanged into euro at the conversion rate 1 EUR = 0.585274 CYP and Maltese liras at
1 EUR = 0.4293 MTL. These are the same pegs valid when Cyprus and Malta participated in the exchange rate mechanism ERM II.
The Cyprus pound and the Maltese lira will be in dual circulation with the euro until 31 January 2008, and the euro will be the
sole legal tender in both countries as from 1 February 2008.
In Malta, credit institutions will exchange liras into
euro at the fixed conversion rate until 31 March 2008. In Cyprus, pounds will be exchanged until 30 June 2008. The central banks of both
countries continue to exchange the national currency banknotes for ten years (i.e., until the end of 2018) and coins for two years (i.e.,
until the end of 2010) after they cease to be legal tender.
Most of Estonia's commercial banks will not exchange
Maltese liras and Cyprus pounds as of January 2008. According to the exchange bureau Tavid, the company will continue to buy the national
currencies of Cyprus and Malta until 31 January 2008.
More detailed information regarding the changeover to the euro in
Cyprus and Malta is available on the web site of the European Central Bank and also on the home page of the central banks of Cyprus and Malta:
http://www.ecb.int
http://www.centralbank.gov.cy
http://www.centralbankmalta.com
