Decision-making
The Governor of the Bank of Finland is a member of the Eurosystem’s highest decision-making body, the Governing Council of the European Central Bank (ECB). The ECB’s Governing Council determines the monetary policy for the euro area, which means it takes decisions on monetary policy goals, key interest rates and acquisition of reserves within the Eurosystem. It also issues guidelines concerning the implementation of decisions.
Governing Council of the ECB
The Governing Council of the ECB consists of the governors of the national central banks of the euro area and the six members of the ECB’s Executive Board. The Governing Council convenes in Frankfurt-am-Main, Germany, usually twice a month, and its most important task is to decide on the monetary policy of the euro area.
Executive Board of the ECB
The Executive Board of the ECB consists of the President of the ECB (who acts as chair), the Vice-President and four other members. The Board is responsible for managing the day-to-day business of the ECB according to the guidelines laid down by the Governing Council. It administers the ECB’s operations in Frankfurt and makes preparations and recommendations for the Governing Council meetings.
General Council of the ECB
The General Council of the ECB handles general questions concerning all the EU Member States. The General Council comprises the governors of all EU Member States’ national central banks and the President and Vice-President of the ECB. The General Council usually convenes four times a year. It participates in the performance and coordination of the advisory functions of the ECB and in preparations for the enlargement of the euro area, although it is not involved in the decision-making processes of the Eurosystem.
Preparation of decisions
The preparatory work for decision-making within the Eurosystem and the ESCB is made both at individual central bank level and in a number of committees made up of experts from each of the ESCB