Several European Union leaders blamed Britain for failing to pave the way for a smooth decision. Blair looked distinctly uncomfortable as he announced the tortuous deal hammered out in 11 hours of talks with European Union leaders which made Dutchman wim Duisenberg president of the powerful European central bank, but effectively cut in half his eight-year term in office.

That was to make way for Frenchman Jean-Claude Trichet, the candidate unrelentingly promoted by French president Jacques Chirac, although most other members backed Duisenberg. The unseemly squabble over the influential job spoiled what should have been Europe's finest hour when the heads of government sealed an historic agreement to launch the single currency with 11 founding members.

Blair said the deal preserved "the sanctity" ofthe Maastricht treaty because Duisenberg was retiring of his own free will and no date had been imposed on him. Meanwhile, Japanese prime minister Ryutaro Hashimoto on Sunday hailed the European move towards a single currency, officials here said. "I pay my respect to (Europe's) overcoming various difficulties and making great progress toward a historical experiment," Hashimoto said in a letter to European commission president Jacques Santer and British prime minister Tony Blair. Britain chairs the European union at present but is not among the ii countries which will adopt the euro.