1 Ecu – Monaco

In 1707, Monaco found itself in a precarious monetary situation, caught between the competing monetary systems of its powerful neighbors, France and the Kingdom of Sardinia (which controlled the adjacent County of Nice). The principality, while a sovereign state under the protection of the French crown through the Treaty of Péronne (1641), did not possess its own mint. Consequently, a variety of foreign coins circulated within its tiny territory, primarily French livres, sous, and deniers, but also Sardinian scudi and other Italian currencies, leading to chronic complexity and instability in everyday commerce.

The core of the problem was the fluctuating exchange rates between these currencies, which were often manipulated for profit. This created a chaotic environment for trade and taxation, as the value of a payment could vary significantly depending on the coins used. French monetary policy, particularly under Louis XIV, was increasingly assertive, aiming to standardize currency within its sphere of influence. This pressure directly conflicted with the practical reality in Monaco, where economic ties to the Italian peninsula remained strong, ensuring the continued influx and use of non-French specie.

Ultimately, this period represented a transitional phase where Monaco’s monetary autonomy was being steadily eroded by French hegemony. While no single dramatic reform occurred in 1707 itself, the year existed within a longer trajectory where the French livre was becoming the de facto standard. The situation underscored Monaco’s vulnerable position, forced to navigate the monetary dictates of a powerful protector while managing the practical needs of its local economy and cross-border trade, a tension that would gradually resolve in favor of French currency dominance in the decades to follow.