EURO: RISE IN COUNTERFEITING STILL NO CAUSE FOR CONCERN.

The total number of counterfeit coins withdrawn from circulation is on the rise but still quite small compared to the 63 billion circulating (genuine) euro coins and is by far lower than the overall number of counterfeit coins of legacy currencies before the introduction of the euro. The Commission therefore believes that there is no cause for concern. Moreover, these counterfeit coins should generally be rejected by properly adjusted vending and other coin-operated machines.

In addition, 3.557 counterfeit euro coins were seized before circulation, during law enforcement operations. According to reports from the competent national authorities, three illegal euro coin workshops were dismantled in 2005, one in Hungary, one in Poland and one in Bulgaria. Overall, 11 illegal coin workshops have been dismantled since the introduction of the euro coins.

The most counterfeited euro coin denomination is the 2-euro. The German national side is most frequently reproduced, followed by the sides of France, Spain, Belgium, Italy, Austria, Netherlands, Ireland, Greece and Luxembourg. As far counterfeit euro banknotes are concerned, around (286,000 notes) were withdrawn from circulation in the second half of 2005 according to the European...