San Marino is a third State with respect to the European Union. The European Union and San Marino established diplomatic relations in 1983. Following articulated political negotiations, on 16 December 1991 the European Economic Community and the Republic of San Marino signed in Brussels a Cooperation and Customs Union Agreement, which was approved by the European Parliament on 9 July 1992.
The Republic of San Marino is part of Europe from a historical, geographical and cultural point of view. Although its geopolitical condition makes it an enclave not only of Italy but also of Europe, San Marino is not part of the European Union.
Therefore, from a legal point of view, San Marino remains a third State with respect to the European Union, with which it entered into several agreements in the past and is now negotiating a new legal framework (Association Agreement). However, Europe is already part of the heritage of San Marino, which preserves its traces.
The aim of this section is to provide some essential introductory elements in order to explain such connections in the institutional framework, in the arts and in academic research, as will be seen in the parts of which it is composed. The intention is to identify San Marino as a European fact and to restore the European tradition of San Marino, as shown in the title. This allows the Republic to explain the cooperation presently in force and to highlight the main lines of the process of greater integration aimed at the future association with the European Union.
In 1983, the Republic of San Marino, as a third State, established official relations with the European Union. Since then, the relations have strengthened, making it possible to considerably reduce distances and to introduce important opportunities for dialogue and discussion.
After a phase of consultations, meetings and in-depth studies aimed at identifying the best solutions to further strengthen relations within a renewed legal framework, on 16 December 2014 the Council of the European Union officially granted the Commission the mandate to negotiate one or more Association Agreements with the Republic of San Marino, the Principality of Andorra and the Principality of Monaco. Following this decision, the ceremony to launch the negotiations was held on 18 March 2015 in Brussels, in the presence of the High Representative of the Union for Foreign Affairs and Security Policy and Vice-President of the European Commission (see the video of the ceremony).
This section of the website contains necessary information to describe the structure of the cooperation with the European Union and it also provides some points for discussion and analysis relating to the process undertaken by San Marino for greater European integration.
The different sections allow to learn more about the history of relations with the European Union and to have access to institutionally important documents (agreements, parliamentary deeds, analyses and studies), press releases and articles relating to initiatives implemented by the country, training and work opportunities related to Europe, as well as a list of useful websites.
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Since the establishment of official relations in 1983, San Marino has concluded three main agreements with the EU, i.e. on customs cooperation, on taxation of savings income and a monetary agreement.
Cooperation and Customs Union Agreement
Concluded in 1991, the Cooperation and Customs Union Agreement established a customs union between the Republic of San Marino and the then European Economic Community, setting the basis for extensive cooperation in various fields.
The Agreement, signed in 1991, entered into force in its complete form (customs union and cooperation) only in 2002. Meanwhile, the Customs Union was implemented through the Interim Agreement, which ceased to have effect in 2002.
According to the Monetary Agreement, the Republic of San Marino is entitled to use the euro as its official currency and grants legal tender status to euro banknotes and coins in the territory of San Marino. The Agreement also ensures that the rules of the European Union in the field of banknotes and coins denominated in euro, including those on the protection against counterfeiting, are applicable in San Marino territory.
This Agreement has repealed the preceding one of 29 November 2000, concluded between the Italian Republic, on behalf of the European Community, and the Republic of San Marino, which gave the latter the right to use the euro as its official currency starting from 1 January 1999.
Protocol amending the Agreement on Taxation of Savings Income
A first Agreement, signed in 2004, committed San Marino to apply measures equivalent to those laid down in Directive 2003/48 in relation to interest payments paid in the Republic of San Marino in favour of persons resident in an EU member State.
At the request of the EU, the Agreement was renegotiated and replaced by a Protocol amending the Agreement, which transposes the Global Standard on Automatic Exchange of Financial Information adopted by the OECD.