Financial and legal status of the european central bank in the institutional structure of the european banking system

Abstract

The paper deals with the problem of determining the financial and legal status of the European Central Bank (hereinafter referred to as the ECB), analyzing scientific approaches to the essence of the concept of "financial and legal status of the central bank", as well as the constituent elements that determine this status. Particular attention is paid to the correlation between the financial and legal status of the ECB and the National Bank of Ukraine (hereinafter - the NBU), namely: in powers, independence, profit sharing, and functions. The European Central Bank is an organization with a special status. Only the ECB has the exclusive right to authorize the issuance of banknotes on the territory of the community. It should be especially emphasized that banknotes issued by the ECB and national central banks are the only banknotes that have the status of legal tender in the EU. Also, its importance is emphasized by the fact that each of the member states had to ensure, at the latest - before the date of creation of the ESCB, compliance with the Treaty on the European Community and the Statute of the ESCB and the ECB, including the Regulation on the national central bank. The European Central Bank is an organization with a special status. Only the ECB has the exclusive right to authorize the issuance of banknotes on the territory of the community. It should be especially emphasized that banknotes issued by the ECB and national central banks are the only banknotes that have the status of legal tender in the EU. The financial and legal status of central banks is based on the general legal status, therefore, first of all, the general provisions on the legal nature of central banks contained in the laws on these banks are analyzed. The financial and legal status of the ECB in the institutional structure of European banking is defined in the financial and legal functions and powers, namely: in the implementation of foreign exchange operations, management and maintenance of foreign exchange reserves and ensuring the smooth functioning of the payment system, support the general economic policy of the union, and also contribute to the implementation of measures to strengthen the stability of the financial system.