The "Latvian monetary unit" refers to the official currency of Latvia, which is the euro (€). As a member of the European Union (EU) since 2004, Latvia adopted the euro on January 1, 2014, replacing its former currency, the Latvian lats (LVL). The Latvian monetary unit, in this context, represents the legal tender used in Latvia for all transactions, both domestic and international.
The euro is subdivided into 100 cents and it is managed by the European Central Bank (ECB), along with the other eurozone countries. The Latvian monetary unit is represented by banknotes and coins, with various denominations, including €5, €10, €20, €50, €100, €200, and €500 banknotes, as well as 1, 2, 5, 10, 20, and 50 cent coins and €1 and €2 coins.
As a medium of exchange, the Latvian monetary unit facilitates economic transactions within Latvia, providing a standardized system for the value of goods and services. It is an integral part of the country's monetary and economic policies, contributing to stability and facilitating trade both domestically and with other countries in the European Union.
Overall, the Latvian monetary unit, which is the euro, holds significant importance in Latvia's financial system, serving as the official currency and representing a key aspect of the country's economic infrastructure.
