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Rahul Boss

[edit] Powers and objectives

The ECB has the exclusive right to authorise issuance of banknotes
The primary objective of the Eurosystem (cooperation of the ECB and the national central banks of the euro area) is to maintain price stability within the Eurozone, in other words to keep inflation low. The Governing Council defined price stability as an inflation (HICP or Harmonised Index of Consumer Prices) of below, but close to, 2%.[4]. Unlike for example the FED, the ECB has only one primary objective. Other objectives are subordinate to this objective.
The key tasks of the Eurosystem are to define and implement the monetary policy for the eurozone, conduct foreign exchange operations (and take care of the foreign reserves of the ESCB) and promote smooth operation of the money market infrastructure called Target2 payment system.[5] The Eurosystem acts according to a market economy with free competition.[4]
Furthermore, it has the exclusive right to authorise the issuance of......


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Approximate Word Count: 1191
Approximate Pages: 5 (250 words per double-spaced page)

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