Monetary policy is a very important factor in every community, and the entire economy depends on its implementation. It is important to implement it in a timely manner and make decisions depending on the current situation in the community. The European Union implements monetary policy through the European Central Bank for all Eurozone member countries that have adopted the euro currency, and the primary goal is price stability. The monetary and economic policy of the EU is carried out through three phases, the third of which is still in force due to the fact that today the euro is used as the official currency by 19 out of 27 member states, and only when the entire number of member states have set a monetary policy so that the euro is their only domestic currency currency of payment in your country will be completed task of the third stage. Republic of Croatia started the process of introducing the euro as the official currency on July 10, 2020, and should all the conditions of the European Exchange Rate Mechanism II (ERM II) be met, it should introduce the euro as the official currency already on the first day of 2023. As for the Banking Union, it was created after the great economic global crisis so that in the future banks would have the tools and instruments to fight against all economic adversities and problems. At that time, banks were simply not prepared for such a difficult situation on the market and did not have prepared mechanisms to defend themselves and preserve their stability. In order not to repeat the scenario from 2008 in the future, the Banking Union was established, which, according to the Croatian National Bank, "is based on three pillars: a single supervisory mechanism, a single recovery mechanism and the European Deposit Insurance System." (HNB, https: //www.hnb.hr/-/bankovna-unija-ostvarenja-i-izazovi, accessed on June 1, 2022)