The Evolving Status of National Central Banks in the Eurosystem

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The Eurosystem is not only composed of the European Central Bank (ECB), but also of the National Central Banks (NCBs) of the Eurozone Member States. While these NCBs have initially received somewhat less attention, the Court of Justice of the EU (CJEU) has recently issued several judgments which have put Eurosystem NCBs in the spotlight, and which allow to better appreciate their unique ‘hybrid status’, qualifying as an entity of both European and national law. This article will reflect upon the question how NCBs’ status and position has changed following on this case law. On the one hand, NCBs have been empowered, especially vis-à-vis their respective national governments: their independence has been confirmed and strengthened, even with regard to tasks which fall outside the scope of the Eurosystem. On the other hand, NCBs are confronted with an increased liability risk, caused by litigation against ECB Decisions of which the execution has been left to NCBs. In conclusion, NCBs are being further absorbed into the European level, which is both to their benefit and their detriment.