By KEVIN TAYLOR AND AGENCIES
New Zealand stole a march on the world at midnight as the first country to offer the euro as cash.
As New Zealand welcomed in the New Year, the BNZ branch at Auckland International Airport became the first bank in the world to offer Europe's new single currency for sale.
A Wellington Airport money exchange also offered the new currency at midnight.
The New Year brings the introduction of Euro notes and coins as legal tender for 304 million people across the European Union.
The exceptions are those in Britain, Denmark and Sweden.
Twelve European countries will stop the circulation of their national notes and coins by February 28 at the latest, in the biggest monetary changeover in history.
Giving up their currencies are Belgium, Austria, Finland, France, Luxembourg, Ireland, the Netherlands, Germany, Portugal, Italy, Greece and Spain.
The BNZ head of corporate affairs, David Browne, said the bank was the first in New Zealand to sell euros because it had branches at Auckland and Christchurch international airports.
Euros also went on sale at the Travelex money exchange at Wellington Airport.
Travelex national retail manager Stuart Cordelle said many inquiries about the euro were made by collectors and travellers heading for Europe.
One New Zealand dollar will buy about 45 euro cents.
An overnight rush from travellers for euros was not expected because the next international flight was not until this morning, but Mr Browne said there could be demand from collectors wanting to be the first in the world to buy euros.
Since January 1, 1999, the euro has been a virtual currency, comprising an amalgam of all the countries in its zone but usable only for non-cash transactions.
The new currency's arrival was celebrated in Brussels with words, video and dance at a ceremony marking the passing of the European Union's rotating presidency from Belgium to Spain.
Before the kings of Belgium and Spain, seated in the gold-and-maroon throne room of the Belgian royal palace, circus acrobats kicked off a countdown for New Year and the moment that euro notes and coins were to become legal tender.
After forming a euro symbol with their bodies, three acrobats surprised the royals with little plastic packs of euro coins and received handshakes in return.
The hour-long ceremony also included a children's dance troupe, a video clip about Europe, choirs singing national hymns and speeches from politicians.
"The introduction of the euro will show in day-to-day life how much the European Union has become a reality," said Belgian Prime Minister Guy Verhofstadt.
"The new currency symbolises the increasing economic cooperation on our continent, its great political stability and the will to share the same destiny."
A top European Union official said the euro would give the EU a greater voice in steering a globalising world economy, but it would not result in a "United States of Europe".
"The single European economies, if they are left alone, they will disappear," said Romano Prodi, president of the EU's executive commission.
"If united, we shall have a say in the contemporary world."
The single currency represented a "new identity" for Europeans, Mr Prodi said.
"To have the same currency is not just an economic decision, it's a political decision.
"You have to harmonise many behaviours, organise decision-making processes in case of a crisis in one of the countries or erratic shocks."
Despite the closer integration that the euro represented, Mr Prodi did not believe that the EU was on its way to becoming a "United States of Europe".
"Our union is completely different," he said, describing the 15 states that comprise the EU as a "union of minorities that will never have a dominant central core".
Mr Prodi welcomed positive remarks about the euro in British Prime Minister Tony Blair's New Year's message.
But he said he would leave it to the British people to decide whether to join.
European political leaders and central banks hailed the historic importance of the changeover, a milestone in the policy of European integration.
German Chancellor Gerhard Schroeder said he understood German fears about the euro, but the new currency would usher in better times.
"Many will also be a bit wistful," Mr Schroeder said.
"The German mark meant a lot to us. We link the mark with memories of good times in Germany.
"But you can be sure - even better times are ahead."
Many Germans have mixed feelings about the introduction of euro coins and bills.
The deutschmark has been a symbol of stability and prosperity for West Germany since the Second World War and for the east since reunification in 1990.
French Finance Minister Laurent Fabius trumpeted the euro's significant potential for appreciation against the US dollar because of euro-zone economic power.
"When I see the fundamental elements of the European economy ... I think there is a potential for the euro's appreciation regarding its external value which is significant and which will reveal itself over time," Mr Fabius said.
Austrian Chancellor Wolfgang Schuessel said the euro had contributed to stability on the continent.
"The euro has had very positive effects," Mr Schuessel said.
"If every country had had to face up to the economic consequences of the September 11 terrorist attacks without a common economic and monetary policy, that could have led to a snowball effect of devaluations like in the 1990s."
More than 50 billion euro in coins have been minted and 15 billion euro in notes have been printed.
Charities are set to benefit from the introduction of the new euro coinage.
Many hope to get their hands on tonnes of old coins from the 12 national currencies going out of use.
Donations of coins are up, and charities hope the pace will pick up after New Year's Day.
NZ steals limelight in euro sales
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