1999/98/EC: Council Decision of 31 December 1998 on the position to be taken by the Community regarding an agreement concerning the monetary relations with Vatican City

• Articles: 10

Article 1

Italy shall notify Vatican City of the need to amend the existing agreement between Italy and Vatican City at the earliest possible date as far as monetary matters are concerned and offer negotiations for a new agreement.

Article 2

The position to be taken by the Community in the negotiations with Vatican City for an agreement concerning matters referred to below shall be based on the principles laid down in Articles 3 to 6.

Article 3

1. Vatican City shall be entitled to use the euro as its official currency.

2. Vatican City shall be entitled to grant legal tender status to euro banknotes and coins.

Article 4

Vatican City shall undertake not to issue any banknotes, coins or monetary surrogates of any kind unless the conditions for such issuance have been agreed with the Community. This does not prejudge the right of Vatican City to continue issuing collector coins.

Article 5

1. Vatican City shall undertake to make Community rules on euro banknotes and coins applicable in Vatican City.

2. Vatican City shall undertake to cooperate closely with the Community with regard to measures against counterfeiting of euro banknotes and coins.

Article 6

Financial institutions located in Vatican City may have access to payment systems within the euro area under appropriate conditions to be determined with the agreement of the European Central Bank.

Article 7

Italy shall conduct the negotiations with Vatican City on the matters referred to in Articles 3 to 6 on behalf of the Community. The Commission shall be fully associated with the negotiations. The ECB shall be fully associated with the negotiations in its field of competence. Italy shall submit the draft agreement to the Economic and Financial Committee for opinion.

Article 8

Italy shall be entitled to conclude the agreement on behalf of the Community unless the Commission or the ECB or the Economic and Financial Committee are of the opinion that the agreement should be submitted to the Council.

Article 9

Italy shall ensure that its existing agreement with Vatican City is compatible with the agreement between the Community and Vatican City concerning their monetary relations.

Article 10

This Decision is addressed to the Italian Republic.

Done at Brussels, 31 December 1998.

For the Council

The President

R. EDLINGER

(1) OJ L 139, 11. 5. 1998, p. 1.

(2) Convenzione monetaria tra la Repubblica Italiana e lo Stato della Città del Vaticano il 3 dicembre 1991.