In the bond market, too, the euro plays a crucial role in fostering a deeper and more liquid market. The introduction of the euro paved the way for issuers to access a broader base of investors. Investors too have gained access to a wider spectrum of investment opportunities. The euro’s share in net issuance currently amounts to 39%.
Regarding its use as an official reserve currency, the euro has already attained the same weight as its predecessors. Within the euro area, Monetary Union has kept member countries from being exposed to harmful intraEuropean exchange rate tensions of the type that many countries used to suffer when external shocks occurred.