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Sweden steps closer to euro
PM Persson (right) favours monetary union
The governing Social Democrat party in Sweden has voted in favour of joining the European single currency.
The party had previously opposed moves to join the euro, but will now support the policy in a national referendum.
The party had previously opposed moves to join the euro, but will now support the policy in a national referendum.
Monetary union is the best shield against the growing forces of the market  |
Prime Minister Goeran Persson
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Prime Minister and Social Democrat party leader Goeran Persson said that joining the euro would be the best way of protecting Sweden's public sector against fluctuating currency rates.
"Economic and monetary union is the best shield against the growing forces of the market and capital," Mr Persson said at the start of the party congress which voted on the issue.
But the Social Democrats remain divided over monetary union.
In the vote, 234 delegates voted in favour of Sweden's entry, 113 voted against, and two abstained.
Moreover, the Social Democrats are a minority in parliament, and their allies - the Greens and the ex-communist Party of the Left - both oppose membership of the single currency.
Public uncertain
Admitting that the public might not be ready for the euro, the prime minister told the conference that the "most natural" course towards monetary union would be through a referendum for entry in 2004 and 2005.
"Economic and monetary union is the best shield against the growing forces of the market and capital," Mr Persson said at the start of the party congress which voted on the issue.
But the Social Democrats remain divided over monetary union.
 Swedish public opinion is turning against the euro
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Moreover, the Social Democrats are a minority in parliament, and their allies - the Greens and the ex-communist Party of the Left - both oppose membership of the single currency.
Public uncertain
Admitting that the public might not be ready for the euro, the prime minister told the conference that the "most natural" course towards monetary union would be through a referendum for entry in 2004 and 2005.
EU and monetary union |
Seeking membership
Greece
Undecided
Denmark
Sweden
UK
Euro members
Austria
Belgium
Finland
France
Germany
Ireland
Italy
Luxembourg
Netherlands
Portugal
Spain
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Indications are that Swedish public opinion is turning against the single currency.
A survey this week suggested that 37% of Swedes opposed entering monetary union, with only 35% in favour.
In February, a poll suggested that 42% favoured monetary union.
On Thursday, Greece submitted its formal application to join the single currency, while Denmark announced it would hold a referendum on the policy later this year.
If all three countries were to adopt the euro, the United Kingdom would be the only one of the European Union's present15 member states remaining outside the single currency zone.
The UK's governing Labour party says it will only hold a referendum when it is certain that the country's economy is running parallel with those of its partners.
A survey this week suggested that 37% of Swedes opposed entering monetary union, with only 35% in favour.
In February, a poll suggested that 42% favoured monetary union.
On Thursday, Greece submitted its formal application to join the single currency, while Denmark announced it would hold a referendum on the policy later this year.
If all three countries were to adopt the euro, the United Kingdom would be the only one of the European Union's present15 member states remaining outside the single currency zone.
The UK's governing Labour party says it will only hold a referendum when it is certain that the country's economy is running parallel with those of its partners.
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