EN
OPINION OF THE EUROPEAN CENTRAL BANK
of 14 August 2002
at the request of Sveriges Riksbank
on a draft legislative proposal to amend the Sveriges Riksbank Act (1988:1385) with regard to
the collection of balance-of-payments statistics and the liquidity criterion for securities used in
monetary policy operations
(CON/2002/21)
1. On 3 June 2002, the European Central Bank (ECB) received a request from Sveriges Riksbank
for an opinion on a draft proposal to amend the Sveriges Riksbank Act with regard to thecollection of balance-of-payments statistics and the liquidity criterion for securities used inmonetary policy operations (the legislative proposal).
2. The ECBs competence to deliver an opinion is based on Article 105(4) of the Treaty
establishing the European Community and the third and fourth indents of Article 2(1) andArticle 2(2) of Council Decision 98/415/EC of 29 June 1998 on the consultation of theEuropean Central Bank by national authorities regarding draft legislative provisions
1, as the
legislative proposal contains provisions concerning Sveriges Riksbank, the collection,compilation and distribution of monetary, financial, banking, payment systems and balance-of-payments statistics, and instruments of monetary policy. In accordance with the first sentence ofArticle 17.5 of the Rules of Procedure of the European Central Bank, the Governing Council ofthe ECB has adopted this opinion.
3. Some of the amendments suggested in the legisl ative proposal refer to a change in the data
collection system and to a clarification of the reporting requirements for balance-of-paymentsstatistics. The proposed legislative change has become necessary due to, inter alia, thereplacement of the so-called BOK system for reporting individual foreign payments viaSwedish banks for balance-of-payments purposes with a questionnaire-based system for thecollection of data with effect from 1 January 2003. In relation to the collection of informationfrom individual reporters, the explanatory text of the legislative proposal states that the newsystem does not entail any changes in the duty to provide the Riksbank with the information
                                                
1OJ L 189, 3.7.1998, p. 42.
2needed for its balance-of-payments statistics as set out in the second paragraph of Chapter 6,
Article 9 of the Sveriges Riksbank Act. As is also explained, the reporting of financial markets
statistics will remain unchanged. The ECB has no objection to the replacement of the BOKsystem with a new questionnaire-based system.
4. The explanatory text accompanying the legislative proposal further explains that, in connection
with the switch to the new data collection system, Sveriges Riksbank has decided that someparts of the new process will be transferred to the central statistics authority in Sweden,Statistiska centralbyrån  (Statistics Sweden). The explanatory text points out that Sveriges
Riksbank will continue to have the main responsibility for balance-of-payments statistics,covering the publication and distribution of these statistics, their quality, documentation andreporting to international bodies. The new system for the collection of balance-of-paymentsstatistics is scheduled to enter into force on 1 January 2003 and the Riksbank has commissionedStatistics Sweden to produce parts of the balance-of-payments statistics (trade in services andtransfer payments, as well as some parts of the financial account) for a period of one year,which may then be extended. Moreover, it follows from the legislative proposal that the newsystem does not entail any changes in the obligation for credit institutions and other third partiesto provide information to the Riksbank for its balance-of-payments statistics according toChapter 6, Article 9 of the Sveriges Riksbank Act. The explanatory text considers that thesecond paragraph of Chapter 6, Article 9 of the Riksbank Act does not prevent SverigesRiksbank from delegating the collection of statistics to another party, such as Statistics Sweden,in spite of the duty of disclosure to the Riksba nk. Accordingly, the duty of disclosure will also
apply to the provision of information to Statistics Sweden. The Riksbank Act does not thereforeneed to be amended on account of Statistics Sweden producing parts of the statistics. In view ofthese clarifications, the ECB takes note that the legislative proposal suggests that the wording ofChapter 6, Article 9 of the Sveriges Riksbank Act will continue to impose an obligation toprovide the relevant information to the Riksbank even if Statistics Sweden is collecting theinformation on behalf of the Riksbank.
5. The ECB has no objection to the transfer to Statistics Sweden of specific parts of the production
of the identified elements of the balance-of-payments statistics2 as long as Sveriges Riksbank
retains full responsibility for all related activities and policies. In particular, it is assumed thatthe Riksbank will remain fully responsible for the methodology and the transmission of therelevant data to the ECB. The ECB understands that the transfer of the above statisticalactivities will be laid down in a separate agreement between Sveriges Riksbank and StatisticsSweden. The ECB would very much appreciate the opportunity to also review and comment on
such draft agreement. Sweden is presently a Member State with a derogation and the ECBrequirements in the field of balance-of-pay ments and international investment position
                                                
2 The collection of data on trade services and transfer payments, as well as some parts of the financial accounts.
3statistics3 only apply to the national central banks of the Eurosystem (NCBs). However, the
ECB encourages non-participating Member States to adopt such legislative provisions as arenecessary to comply with these requirements in view of the future enlargement of the euro area.
At the same time, the ECB encourages the national central banks of non-participating MemberStates to only enter into agreements that are co nsistent with these requirements. In this respect,
the ECB would like to refer inter alia to Article 9.2 and Article 14.3 of the Statute of theEuropean System of Central Banks and of the European Central Bank. According to theseArticles, the ECB and the NCBs shall carry out the ESCB-related tasks as specified in theTreaty and the Statute. This will also apply to Sveriges Riksbank as soon as Sweden adopts theeuro and the Riksbank becomes a fully integrated part of the Eurosystem.
6. To the extent that the legislative proposal refers to parts of the balance-of-payments financial
account, the ECB would also like to stress that access to individual data collected by StatisticsSweden should not be denied to the Riksbank or to the ECB on the grounds of confidentiality orotherwise. This is an important requirement that  should apply in all cases, notably in order to
allow quality checks on the data collected by Statistics Sweden under the new arrangement.
7. Besides balance-of-payments statistics, the Ri ksbank currently also compiles international
investment position statistics, thus following the recommendations of the Balance of PaymentsManual of the IMF (fifth edition). Both the Sveriges Riksbank Act and the legislative proposalprovide a legal basis for the collection of data on transactions for the purpose of balance-of-payments statistics, but no explicit reference is made to international investment positions. Theproposed amendments to the Sveriges Riksbank Act would seem to offer an opportunity toclarify matters in this respect. To this end, the ECB would like to suggest a slight rewording ofthe second paragraph of Chapter 6, Article 9 of the Sveriges Riksbank Act.
4
8. The second type of amendments to the Sveriges Riksbank Act contained in the legislative
proposal will abolish the liquidity requirement for securities that the Riksbank buys and sellsunder repurchase transactions for monetary policy purposes. In this respect, the legislativeproposal notes that there is no equivalent liquidity criterion for intra-day credit granted forpayment system purposes or for other types of monetary policy operations, where the onlyrequirement is for the collateral to be adequate. Moreover, a reference is made to the fact thatthe Riksbank Act contains such a liquidity criterion for the Riksbanks buying and selling ofdebt instruments in pursuance of its foreign exchange policy. It is not proposed to remove thisliquidity criterion for foreign exchange operation s in view of the need for the Riksbank to be
                                                
3 Guideline ECB/2000/4 of 11 May 2000 on the statistical reporting requirements of the ECB in the field of balance-of-
payments statistics, the international reserves template and international investment position statistics, OJ L 168,
23.6.2001, p. 25.
4 For instance, the draft provision could be slightly reworded along the following lines: The performer of cross-border
transactions and/or recipient of assets and liabilities with foreign connections has an obligation to provide the
Riksbank with such information and to present such documents concerning cross-border transactions undertaken, and
assets and liabilities with foreign connections r eceived on his own behalf or on behalf of a customer, as are needed as
a foundation for the Riksbanks balance-of-payments and international investment position statistics .
4able to sell its foreign securities quickly in case of currency interventions. According to the
legislative proposal, securities are treated differently where the Riksbank receives them ascollateral in order to protect the Riksbank in the event of the default of a counterparty inconnection with a repurchase transaction for monetary policy purposes. According to theproposal, there is in this case no need for the securities to be liquid.
9. The ECB has no objection with regard to the proposed abolition of the liquidity criterion for
certain monetary policy operations, though would observe that the requirement of adequatecollateral may be interpreted as also containing an element whereby the collateral must berealisable without undue delay. However, to expressly maintain a specific statutory liquidityrequirement in addition to the requirement of adequate collateral is not necessary for theoperations now under consideration.
10. The ECB confirms that it has no objection to the competent national authorities making this
opinion publicly available at their discretion.
Done at Frankfurt am Main on 14 August 2002.
The President of the ECB
[signed]
Willem F. DUISENBERG