sou · H7B346 · 2019-11-29 00:00:00 — If the decision is not approved, the Riksbank’s immediately preceding decision on the design of the price stability objective applies. Prosecution of officials listed below in respect of offences com- mitted in the exercise of their assignment or employment may be 1. only by the Committee on 1. only by the Committee on Finance in the case of prosecution Finance in the case of prosecution of a member of the General of a member of the General cil of the Riksbank or a member 2.only by in the case of pros- ecution of a member of , the Board or , or one of the Parliamentary Ombuds- men or Auditors General or of the Secretary-General of the Riksdag. The provisions laid down in one concerning prosecution of a member of shall not apply in respect of an offence committed in the exercise of the Riksbank’s deci- sion-making powers under the Act on Exchange Control and Regula- tion of Credit (1992:1602). may order a special investigation of cir- cumstances that can form the basis for removing a member of the Ex- ecutive from office. This Act enters into force on 1 January 2023. 19One result of the amendment is that the paragraph two is repealed. 2.Older provisions apply to offences committed before 1 January The following is hereby provided. Chapter 1 The content of the Act and general provisions Content of the Act Section 1 This Act contains provisions on riksbank (the Riksbank). The Act also contains provisions on financial companies, certain other legal persons and traders and means of payment. The Act consists of 13 chapters. These chapters deal with: –the content of the Act and general provisions (Chapter 1), –monetary policy (Chapter 2), –the financial system (Chapter 3), –cash (Chapter 4), –crisis preparedness and elevated preparedness (Chapter 5), –international activities (Chapter 6), –other provisions about the activities of the Riksbank (Chap- ter 7), –budget, accounting and equity (Chapter 8), –asset management (Chapter 9), –foreign reserves and currency repurchase agreements (Chap- ter 10), –organisation and management (Chapter 11), –information to the public and reports to the Riksdag Commit- tee on Finance (Chapter 12), and –administrative fines, orders and appeal (Chapter 13). The status of the Riksbank Section 2 The Riksbank is a separate legal entity that is owned by the State. guarantees the Riksbank’s obligations. The Riks- bank manages its own assets and the income of its activities. Section 3 The Riksbank is part of System of Central Banks (ESCB) and is one of the owners of . General provisions about the activities of the Riksbank Section 4 The Riksbank shall aim for high efficiency and manage state funds prudently. Section 5 The Riksbank may only take a measure under the pro- visions of this Act that does not constitute an intervention in an individual case if 1.the measure can be assumed to lead to the intended result, 2.the measure is not more far-reaching than is needed, and 3.the intended result is in reasonable proportion to the costs and risks that the measure leads to for the Riksbank’s and the State’s finances. Statement of reasons for decisions Section 6 The decisions of the Riksbank that do not constitute an intervention in an individual case shall contain an explanatory state- ment of reasons unless this is manifestly unnecessary. The statement of reasons shall contain information about what provisions have been applied and what facts have been decisive for the position taken by the Riksbank. A statement of reasons may be or partly omitted if: 1.the decision is of no or only negligible macroeconomic impor- tance, 2.a substantial public or private interest requires that the decision is to be issued immediately, 3.it is necessary with regard to national security, the protection of individuals’ personal or financial integrity or some other com- parable circumstance, or 4.the decision is about the issue of provisions stated in Chapter 8 of the Instrument of Government. Limits of the activities of the Riksbank Section 7 The Riksbank may only perform tasks or participate in activities stated in an act of law or in legal acts from Union. Section 8 The Riksbank shall participate in cooperation with the other central banks within the ESCB. Chapter 6 contains provisions about the Riksbank’s other inter- national activities. Section 9 In order to be able to fulfil its tasks the Riksbank shall follow general economic developments and the developments in financial markets. The Riksbank shall also identify the threats to sustainable development that affect the possibilities of attaining the objectives under this Act. The Riksbank may also conduct research of importance for its ability to attain the objectives under this Act. Prohibition of monetary financing Section 10 The Riksbank must not grant credit to or purchase debt instruments directly from: 1.the State, municipalities, county councils, regions, other public authorities, other bodies governed by public law, or public under- takings, or authorities, other bodies governed by public law, or public under- takings, or 2.institutions, bodies, offices or agencies of Union. The Riksbank may, however, purchase these debt instruments in the secondary market in accordance with the provisions of Chapter 2, Section 4, first paragraph, points 3 and 4 and Chapter 3, Section 12. The Riksbank may also give the State credit referred to in Chap- ter 3, Section 9 that does not extend beyond midnight of the day in question and is compatible with Council Regulation (EC) No 3603/93 of specifying definitions for the application of the prohibitions referred to in Articles 104 and 104b (1) of the Treaty. Section 11 Notwithstanding Section 10, the Riksbank may grant credit to or purchase debt instruments directly from publicly owned credit institutions and publicly owned foreign credit institutions under the same conditions as other credit institutions and foreign credit institutions under this Act. Section 12 In this Act the following terms have the meaning set out below: financial derivative instruments: the same as in Chapter 1, Sec- tion 4, first paragraph of the Securities Market Act (2007:528), financial companies: companies subject to the supervision of the Financial Supervisory Authority, equivalent foreign companies, the and , financial instruments: the same as in Chapter 1, Section 4, first paragraph of the Securities Market Act, capital requirements directive: directive 2013/36/EU of the Euro- pean Parliament and of 2013 on access to the activity of credit institutions and the supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directives 2006/48/EC and 2006/49/EC, Commission Delegated Regulation (EU) 2015/61: Commission Delegated Regulation (EU) 2015/61 of 10 October 2014 to supple- ment Regulation (EU) No 575/2013 of Parliament and the Council with regard to liquidity coverage requirement for , sovereign debt instrument: the same as in Chapter 1, Section 4, first paragraph of the Securities Market Act, currency interventions: to buy or sell foreign currency, foreign sovereign debt instruments or financial derivative instruments re- garding currencies, in which case Swedish kronor shall be one leg of the transaction, in order to set the exchange-rate of the Swedish krona, currency repurchase agreement: an agreement between the Riks- bank and another central bank or ments under which they make various currencies available to each other for a certain period, after which the sum that may have been used shall be repaid, securities: the same as transferable securities in Chapter 1, Sec- tion 4, first paragraph of the Securities Market Act, and repurchase agreement: an agreement on 1.the purchase of financial instruments with a simultaneous agree- ment on the sale of the same quantity and type of instruments at a later time at a pre-determined price, or the other way around, or 2.a swap of financial instruments with a simultaneous agreement to return the same quantity and type of these instruments at a later time. Chapter 2 Monetary policy Price stability and consideration of the real economy Section 1 The Riksbank’s primary objective is to maintain price stability through sustainably low and stable inflation (the price stability objective). The Riksbank decides on the design of the price stability objective. Supplementary Provision 9.17.4, second paragraph, and Chapter 11, Section 18 a of the Riksdag Act contains further provisions on such decisions. The Riksbank shall also, without prejudice to the price stability objective, contribute to balanced development of production and employment (consideration of the real economy). Section 2 The Riksbank’s task of conducting monetary policy means that it shall take measures under the provisions of this Chapter in order to attain the objective and the consideration of the real eco- nomy stated in Section 1. Section 3 If the Government has decided on an exchange rate target under the Exchange-rate Policy Act (1998:1404), the Riks- bank shall apply that target without prejudice to the price stability objective. When currency interventions referred to Section 4, third para- graph, are implemented, account shall be taken of what exchange-rate system applies. Interest rate management and liquidity instruments Section 4 In relation to financial companies the Riksbank may: 2.provide credit in Swedish kronor or foreign currency against adequate collateral, 3.enter into repurchase agreements, and 4.buy and sell Swedish sovereign debt instruments in the sec- ondary market. The Riksbank shall determine key interest rates regarding the transactions stated in the first paragraph, points 1–3. The Riksbank may also carry out currency interventions and issue and trade in its own debt instruments in Swedish kronor. Purchase and sale of financial instruments other than Swedish sovereign debt instruments Section 5 If there are exceptional reasons, the Riksbank may also buy and sell financial instruments other than Swedish sovereign debt instruments referred to in Section 4, first paragraph, point 4, pro- vided that they are admitted to trading on a regulated market. Section 6 The Riksbank may issue regulations that mean that a certain proportion of a financial company's investments or commit- ments, calculated in a way decided by the Riksbank, shall correspond to the company’s deposits in the Riksbank for a specified period (minimum reserve requirements). Such regulations may mean that the company's cash on hand shall be equated with deposits and that the minimum reserve requirement of a branch of a foreign credit institution shall be calculated on the branch’s investments or commitments. Minimum reserve requirements may also be issued by decisions in individual cases. Section 7 The Riksbank may issue regulations concerning the terms for transactions referred to in Section 4, first and third paragraphs and Section 5. Section 8 Conditions that are generally applicable to the Riksbank’s deposits and lending, repurchase agreements and the collateral that can be accepted under Section 4, first paragraph, point 2, shall be made public. Information to the public Section 9 The Riksbank shall inform the public in an appropriate way about 1.the price stability objective, consideration of the real economy and the Bank’s monetary policy strategy, 2.monetary policy decisions taken, the reasons for them and any dissenting opinions in , including in addition to what is stated in Chapter 12, Section 1, and 3.its assessment both of the future development of prices and of other circumstances that have a substantial impact on the design of monetary policy and the possibilities of attaining the price stability objective and the consideration of the real economy. Chapter 12, Section 1 contains provisions about making minutes public. Information to the Government Section 10 The Riksbank shall inform the minster designated by the Government of the monetary policy decisions taken. This in- formation shall be given as soon as possible after the decision and, if possible, before it is announced to the public. Section 11 The Riksbank may conduct a dialogue with the Govern- ment and other public authorities or organisations about questions that affect the design of monetary policy and the possibilities of attaining the price stability objective and the consideration of the real economy. Chapter 3 The financial system Section 1 The objective of the Riksbank’s activities under this Chap- ter is to contribute to the stability and effectiveness of the financial system. This includes ensuring that the public can make payments. The Riksbank’s fulfilment of this objective is without prejudice to the price stability objective under Chapter 2, Section 1, first para- graph. A payment settlement system Section 2 The Riksbank shall provide a payment settlement system. Within the categories set out in Section 8 of the Act on Systems for Settlement of Obligations on the Financial Market (1999:1309), the Riksbank shall decide which financial companies and public authorities that may be participants in the system referred to in the first paragraph. The Riksbank shall take account of the principles of open access and neutrality. The Riksbank shall receive and transfer payments on behalf of the State. Other payment systems or settlement systems Section 3 When required, the Riksbank shall also, in ways other than those referred to in Section 2: 1.participate in payment settlement in relation to financial com- panies and 2.participate in payment systems or settlement systems under the Act on Systems for Settlement of Obligations on the Financial Market (1999:1309) or equivalent systems in another in Union. Oversight of the financial system Section 4 The Riksbank shall assess whether the financial system is stable and efficient and work to identify vulnerabilities and risks in the financial system that may lead to serious disturbances or sig- nificant efficiency losses. If the Riksbank deems that measures are required by some au- thority other than the Riksbank to reduce the risk of serious financial disturbances in the Swedish Economy, the Riksbank shall draw the attention of the authority and other bodies affected to this. Oversight of the financial infrastructure and the development of the payments market Section 5 The Riksbank shall conduct oversight of central counter- parties, other clearing organisations, systems under the Act on Systems for Settlement of Obligations on the Financial Market (1999:1309), central securities depositories, trade repositories, and operations con- ducted by other legal persons of particular importance for the finan- cial infrastructure in . The Riksbank shall follow the development of the payments market. Liquidity assistance to the financial system Section 6 When required, the Riksbank may provide liquidity assis- tance to the financial system according to Sections 11–14. The Riksbank’s crisis preparation work Section 7 The Riksbank shall plan and make preparations to estab- lish good capability to counter serious disturbances in the financial system in . As a step towards this, the Riksbank shall identify liquidity support measures that can be used to counter such distur- bances. The Riksbank shall make public what facilities the Riksbank intends to offer and the specific conditions for them, unless it is inappropriate to do so having regard to the stability or efficiency of the financial system. The Riksbank may take part in resolution colleges and participate in other crisis preparation work organised by other bodies in or abroad. Powers regarding payment settlement Section 8 The Riksbank may accept deposits from participants in its payment settlement system and from the State. The Riksbank may decide to charge fees to participants in its pay- ment settlement system. Section 9 The Riksbank may provide short-term credit that is needed for the functioning of its payment settlement system pursuant to Chapter 1, Sections 10 and 11. Credit may only be granted in return for adequate collateral. does not need to provide collateral. Powers regarding central counterparties in third countries Section 10 The Riksbank may decide on requirements for a central counterparty established in a third country that follow from Arti- cles 25.2b(b) of Regulation (EU) No 648/2012 of Parliament and of 2012 on OTC derivatives, central counterparties and trade repositories. Powers regarding liquidity support Section 11 If needed to counter a serious disturbance in the finan- cial system in , the Riksbank may: 1.provide credit in Swedish kronor or foreign currency in return for adequate collateral to Swedish companies that are subject to the supervision of the Financial Supervisory Authority, equivalent foreign companies that conduct operations in via branches and cen- tral counterparties, or 2.enter into repurchase agreements with such companies referred to in point 1. Market maker of last resort Section 12 The Riksbank may, in a way similar to a market maker, buy and sell financial instruments at predetermined prices, in order to temporarily support the functioning of systemically important financial markets, if: 1.needed to counter a serious disturbance in the financial system in , and 2.there are exceptional reasons. Section 13 The Riksbank may, for liquidity support purposes, pro- vide credit in Swedish kronor or foreign currency in return for collateral to a company that is viable but has temporary liquidity problems, if: 1.needed to counter a serious disturbance in the financial system in or 2.there are other exceptional reasons. Such a credit may only be granted to Swedish companies subject to the supervision of the Financial Supervisory Authority, equiva- lent foreign companies that conduct operations in via a branch or central counterparties. Special liquidity facilities that may be counted in the liquidity buffer Section 14 The Riksbank may offer special liquidity facilities stated in Articles 12.1(d) and 14 and in Article19.1(b) of Commission Delegated Regulation (EU) 2015/61. The Riksbank may charge fees for these liquidity facilities. The Riksbank shall give the Financial Supervisory Authority the opportunity to state an opinion before it decides to offer a special liquidity facility under the first paragraph. Collaboration and consultation with other public authorities Section 15 The Riksbank shall collaborate with the Financial Super- visory Authority and the National Debt Office to contribute to the stability and effectiveness of the financial system. Section 16 The Riksbank shall consult with: 1.the Financial Supervisory Authority in important matters that are linked to the stability and efficiency of the financial system or that affect the supervisory activities of the Financial Supervisory Authority, and 2.the National Debt Office in important matters that are linked to the activities of the Office under the Resolution Act (2015:1016) or the activities of the support authority under of the Precautionary Government Support to (2015:1017). In consultations under the first paragraph the Riksbank shall pro- vide the authority concerned with the information it needs. No consultation needs to take place if there are exceptional reasons. In such a case, however, the Riksbank should inform the Financial Supervisory Authority or the National Debt Office about the matter. Information to the Government and other parties Section 17 Before the Riksbank decides to provide credit under Section 13, the Riksbank shall inform the minister designated by the Government. Section 18 The Riksbank shall provide the Government, the Finan- cial Supervisory Authority, the National Debt Office and the support authority under the Precautionary Government Support to (2015:1017) with the information concerning liquid- ity support measures taken that each authority needs for its activities. Section 19 If the Riksbank becomes aware of a critical situation referred to in Chapter 6, Section 3, second paragraph of the Act on the special supervision of credit institutions and investment firms (2014:968), the Riksbank shall immediately inform the relevant author- ities within the EEA with responsibility for group-based supervision under Article 111 of the Capital Requirements Directive. Section 20 The Riksbank may issue regulations concerning: 1.its payment settlement system, 2.the terms for liquidity support under Sections 11 and 12, and 3.fees and terms for the liquidity facilities referred to in Section 14. Section 1 The objective of the Riksbank’s activities under this Chap- ter is to contribute to the availability of cash to a satisfactory extent throughout . Chapter 9 of the Act (2010:751) contains pro- visions about requirements for credit institutions to provide cash ser- vices. Section 2 ’s currency is called the krona. One krona con- sists of one hundred öre. Section 3 The Riksbank is responsible for issuing cash in by issuing and redeeming banknotes and coins denominated in kronor. Banknotes may be issued in denominations of twenty, fifty, one hundred, two hundred, five hundred and one thousand kronor. Coins may be issued in denominations of one krona, two kronor, five kronor and ten kronor. Commemorative and jubilee coins may also be issued in other denominations. Section 4 The Riksbank is responsible for depot operations being conducted. Depot operations mean the operation of depots, i.e. physical locations for storage and for release and delivery of cash. Unless otherwise decided by the Riksdag, there shall be at least five depots in at which the companies decided by the Riks- bank can collect and deliver banknotes of all denominations. At least one of these depots shall be in the County of or the County of . At least one of these depots shall be in the County of or the County of . Section 5 The Riksbank may conduct operations referred to in Sec- tions 3 and 4 in cooperation with another party. Overall responsibility for cash management Section 6 The Riksbank has the overall responsibility for the func- tioning of cash management in . 1.depot operations under Section 4, 2.counting operations and commercial, physical transportation and associated management of cash referred to in the Payment Ser- vices Act (2010:751), and 3.sale of cash. Its responsibility under the first paragraph means that the Riks- bank shall follow, analyse and report to on cash management, and shall also act as a coordinating actor in cash management when required. Chapter 12, Section 4 contains provisions on reports on cash management. Redemption of certain banknotes and coins Section 7 The Riksbank may redeem banknotes and coins that are damaged or worn. If there are special reasons, the Riksbank may redeem banknotes and coins that have ceased to be legal tender. Section 8 The Riksbank may, either itself or through a company owned by the Riksbank, conduct operations for the printing of bank- notes or the manufacture of coins. Compensation for interest expenses Section 9 The Riksbank may pay compensation or give an interest- free credit to companies that have separated and stored banknotes and coins according to the Riksbank’s instructions regarding opera- tions referred to in Section 4. Section 10 In the event of elevated preparedness, the Riksbank may issue and circulate emergency money. 1.banknotes and coins whose design differs from those stated in Section 3, first paragraph, 2.other kinds of claims on the Riksbank that are given physical form and are intended for the public, or 3.electronic money referred to in Section 11 or other electronic tender for the public that is entered in accounts or stored in some other way, if the Riksdag has previously given consent to this under Section 11.