EURO: Malta, Cyprus to join

EU leaders have backed applications by Malta and Cyprus to join the euro next year

EU leaders have backed applications by Malta and Cyprus to join the euro next year. The decision should enable finance ministers to formally conclude the accession process at a meeting in July.

Both countries joined the EU in 2004 and have passed tests on inflation, interest rates, budget deficits, public debt and currency stability to prove their economies have converged with the eurozone. "This is a historical day for Cyprus," said Cypriot president Tassos Papadopoulos.

"This is confirmation of the sound economic policies the government has followed."

Meanwhile, EU foreign ministers have reiterated their support for a UN security council resolution on the independence of Kosovo, saying it should make a decision as soon as possible.However, the Union continues to oppose any unilateral independence by Kosovo Albanians, a move that the US is considering if Russia blocks a resolution. "The base line is still the same . . . We support the [ UN] security council coming with a resolution and that it makes a decision as soon as possible," said Danish foreign affairs minister Per Stig Møller.