ECB: What is it?

ECB stands for European Central Bank. It is the central bank of the European Union and is responsible for the monetary policy of the Eurozone. The ECB was established in 1998 and is headquartered in Frankfurt, Germany. The primary objective of the ECB is to maintain price stability within the Eurozone. It does this by setting interest rates, controlling the money supply, and managing foreign exchange reserves.

History of the ECB

The ECB was established in 1998 as part of the Maastricht Treaty, which created the European Union. The ECB is responsible for the monetary policy of the Eurozone, which consists of 19 countries that use the euro as their official currency. The ECB is independent from the governments of the Eurozone countries and is responsible for setting interest rates, controlling the money supply, and managing foreign exchange reserves.

The ECB is governed by a board of directors, which consists of the President, Vice-President, and four other members. The President of the ECB is appointed by the European Council and is responsible for setting the monetary policy of the Eurozone. The Vice-President is appointed by the European Parliament and is responsible for overseeing the day-to-day operations of the ECB.

Comparison of ECB and Other Central Banks

Summary

The European Central Bank (ECB) is the central bank of the European Union and is responsible for the monetary policy of the Eurozone. The ECB was established in 1998 and is headquartered in Frankfurt, Germany. The primary objective of the ECB is to maintain price stability within the Eurozone. It does this by setting interest rates, controlling the money supply, and managing foreign exchange reserves. For more information about the ECB, visit the official website at https://www.ecb.europa.eu/.

See Also

• Monetary Policy
• Interest Rates
• Money Supply
• Foreign Exchange Reserves
• European Union
• Eurozone
• Maastricht Treaty
• Federal Reserve
• Bank of England
• Bank of Japan

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