What will be the role of the ECB when the central parity rates of the acceding country currencies vis-à-vis the euro in ERM II are fixed?
In accordance with the Resolution of the Amsterdam European Council of 16 June 1997, decisions on central rates in ERM II are taken by mutual agreement of the Finance Ministers of the euro area countries, the ECB and the Finance Ministers and central bank Governors of the non-euro area countries participating in the new mechanism, following a common procedure involving the European Commission, and after consultation of the Economic and Financial Committee. The Finance Ministers and Governors of the central banks of the Member States not participating in ERM II take part but do not have the right to vote in the procedure. All parties to the mutual agreement, including the ECB, have the right to initiate a confidential procedure aimed at reconsidering central rates (see also the “Policy position of the Governing Council of the ECB on exchange rate issues relating to the acceding countries” published on 18 December 2003).
Related Questions
- What will be the role of the ECB when the central parity rates of the acceding country currencies vis-à-vis the euro in ERM II are fixed?
- How will the euro affect the exchange rate between my dollars and the 11 European currencies?
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