The state of Europes current economic recession taints all promise for its future, its excellence, and its international prestige, as manufacturing in the EU has hit its lowest point since the previous eurozone crisis in October 2012 and is expected to stay this way for the rest of 2019. Although the euro, a common currency shaping the eurozone as a monetary union in which 19 of the 28 countries in the EU recognize the euro as its sole legal tender, was enacted as a means of promoting integration in both real and financial sectors, fundamental policy gaps between the northern core and the Baltics negate the prospect of integration as a notion that solely promotes growth and progress but rather as an obstacle forcing European nations to formulate common, cooperative solutions that promote homogeneity. As a means of mitigating the crippling nature of the crisis on European welfare, the US Federal Reserve, the ECB, and other international banks funneled US dollars into European financial systems, which helped bolster economic acti
vity within the continent by making American dollars more accessible outside of US stocks. Due to the volatile nature of increasing liquidity as a move that will potentially force the EU into back into another 2007-2008 financial crisis, policy experts question as to whether or not this investment should be recognized as a viable long-term solution under the belief that a solution of this caliber will only present a temporary fix to the underlying issue at hand. Currently, the European Central Bank (ECB) based in Frankfurt, Germany and the national banks of eurozone member states constitute the Eurosystem, in which the monetary policies of these countries are managed under an independent body. Homogeneity is achieved through the use of key mechanisms, such as the Stability and Growth Pact (SGP) and the Financial Services Action Plan (FSAP), outlining a number of rules and procedures member states are expected to adopt internally with the intent of facilitating the growth of the financial sector under the common currency regime.