Withdrawals were then limited to 250 litų[7] before the litas was completely abolished. First, it sought to recover its pre-war gold reserves (about 10 tonnes) from France, the United Kingdom, Switzerland, etc. [1] The name was modeled after the name of the country (similar to Latvia and its lats). What Are The Biggest Industries In Lithuania? The talonas was never really trusted by the people and the ruble was very unstable. [54] The design was announced on 11 November 2004 following a public opinion poll conducted by the Bank of Lithuania. In October 1992, the International Monetary Fund (Lithuania joined this organisation on 29 April 1992) granted the first loan of 23.05 million U.S. dollars[9] to create the stabilisation fund. This would pave the way for the introduction of a modified voting system similar to that of the US Federal Reserve System. Reference values from the ECB convergence report of June 2013. Lithuania needed to find about 200 million U.S. dollars to form the stabilisation fund. “Fair euro introducer” campaign. From 1 April 1994 to 1 February 2002, the litas was pegged to the U.S. dollar at the rate of 4 to 1 (the litas was stable around 3.9 for half a year before the rate was fixed). Lithuania is about to issue the first central bank-produced digital coin in the euro zone, part of a project to trial state-backed digital currencies and blockchain technology in everyday use. [18], According to figures from the Bank of Lithuania, Lithuania had met 4 out of the 5 criteria by October 2013, the exception being the government deficit of 3.2% of GDP, exceeding the limit of 3.0%. For other uses, see, "Litai" redirects here. Following the reintroduction of the litas, there was an effort to weed out U.S. dollars from the market. By 1938, 1 U.S. dollar was worth about 5.9 litai,[4] falling to about 20 U.S. cents before its disappearance in 1941. 57% of respondents said the Government acted wrongly by introducing the euro without a referendum on the issue. Lithuania originally set 1 January 2007 as their target date for joining the euro, and in March 2006 requested that the European Commission and the European Central Bank conduct an assessment on their readiness to adopt the currency. As a result, the Commission concluded that "there should be no change at present to Lithuania's status as a Member State with a derogation. The Lithuanian litas (ISO currency code LTL, symbolized as Lt; plural litai (nominative) or litų (genitive) was the currency of Lithuania, until 1 January 2015, when it was replaced by the euro. From 1994 to 2002, the Lithuanian litas was pegged to the US dollar at a fixed rate of 4 litas for every 1 US dollar. If any of these states have bond yields which are significantly larger than the similarly averaged yield for the eurozone (which according to previous ECB reports means more than 2% above) and at the same time does not have complete funding access to financial markets (which is the case for as long as a government receives bailout funds), then such a state is not be included in the calculation of the reference value. The Lithuanian Litas is the currency of Lithuania. The Parliament is a single-chamber legislative body. For a brief while it was kept a secret so as not to further damage the reputation and trust in the litas. [52], The designs of the Lithuanian coins share a similar national side for all denominations, featuring the Vytis symbol and the name of the country, "Lietuva". One litas was covered by 0.150462 grams of gold stored by the Bank of Lithuania in foreign countries. 10 litų coins were introduced in 1936. [22][23][24][25][26] On 16 July the European Parliament voted in favour of Lithuania adopting the euro. Sweden, Ireland and Slovenia were the reference states. The Lithuanian Mint was chosen to mint the coins.[54][55]. Lithuania's recent switch from the litas to the euro was delayed by persistent high inflation and economic crisis. In the interwar period Lithuania stored its gold reserves in foreign banks. In 1922, the Bank of Lithuania issued notes in denominations of 1 centas, 2 centu, 5 centai, 10, 20, 50-centų, and 1 litas, 2 litu, 5 litai, 10, 50, 100 litų. Sweden, Latvia and Ireland were the reference states. In March 1923, the circulation amounted to 39,412,984 litas, backed by 15,738,964 in actual gold and by 24,000,000 in high exchange securities. "[16] However, in January 2013 the Prime Minister announced that the government and the Bank of Lithuania had agreed on a target date of 2015.