This view is buttressed by the fact that a strong performance of the economy has been associated with Ireland’s membership of EMU. Becoming a member of a monetary union was not a new experience for Ireland as we were already well versed in the functioning of monetary unions.
Under the monetary arrangements with the UK, which lasted from 1922 to the end of 1978, the Irish pound remained tied to sterling on a one-to-one no-margins basis. Sterling was exchanged at parity in all banks with no charge and sterling circulated freely within Ireland.