Monetary System


Circulating Coins
1 Franc = 100 centimes

IML = Institut Monetaire Luxembourgeois

Franc(s): 1, 5, 20, 50
On January 1, 1999, the European Monetary Union introduced the euro as a common currency to be used by the financial institutions of member countries; Three years later, on 1 January 2002, the euro became the sole currency for everyday transactions with the member countries

Founded in 963, Luxembourg became a grand duchy in 1815 and an independent state under the Netherlands. It lost more than half of its territory to Belgium in 1839, but gained a larger measure of autonomy. Full independence was attained in 1867. Overrun by Germany in both World Wars, it ended its neutrality in 1948 when it entered into the Benelux Customs Union and when it joined NATO the following year. In 1957, Luxembourg became one of the six founding countries of the European Economic Community (later the European Union), and in 1999 it joined the euro currency area.

Borders Belgium 148 km, France 73 km, Germany 138 km
Economy Population: 462,690 (July 2004 est.)
GDP per capita: $ 54053.46

The official issuer of Luxembourg coins and notes is the Institut Monetaire Luxembourgeois to whom the right of issue was transferred by the State in 1983. The Luxembourg Franc, at par 1 to 1 with the Belgian Franc in the framework of the monetary association with Belgium, is part of the ECU-basket and the Grand-Duchy is a full member of the European Monetary System. Luxembourg is one of the founding members of the International Monetary Fund. Since 1983 the Institut Monetaire Luxembourgeois is the monetary authority of the Grand-Duchy of Luxembourg. It is at the same time the supervisory authority of the financial sector.

Description of Coins

On the obverse, the coins bear the portrait of His Royal Highness the Grand-Duke, surrounded by the circular description in capital letters of His name and title. On the reverse, the coins show in the center the nominal value in francs; in the upper part the royal crown with the date of the coin; in the lower part the letters "IML" and underneath the circular inscription in capital letters "LETZEBUERG".

1993 Uncirculated collection (4 coins) - Obverse (39Kb) and reverse (30Kb) of the coins