What relationship exists between the European Central Bank and the European System of Central Banks?
The relationship between theESCB and theECB is similar to that existing between a central government and its local administrations. The ECB resolves on monetary matters and enacts the necessary strategies to strenghen the euro but, before making a definite decision, it cannot forget to consult the institutions with on-site experience of the individual countries. The national banks of the eleven euro countries have , from the 1 January 1999, lost pratically all of their powers, excepting that they are directly responsable for the emission of paper titles to reduce public debt. Their main task is to implement the decisions of the ECB. This is the relationship existing from the 1 January 1999 between the ECB and ESCB.
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- What relationship exists between the European Central Bank and the European System of Central Banks?
