Opinion of the European Monetary Institute at the request of the Italian Ministry of the Treasury under Article 109f(6) of the Treaty establishing the European Community (the “Treaty”) and Article 5.3 of the Statute of the EMI concerning a draft bill enabling the Italian Government to issue one or more delegated laws concerning the introduction of the euro (“the draft bill”) (CON/97/17)
Date: 1997-09-09
Institutions: European Monetary Institute
Subjects: Italy, euro, monetary integration, money, national law

OPINION OF THE EUROPEAN MONETARY INSTITUTE

at the request of the Italian Ministry of the Treasury under Article 109f(6) of the Treaty
establishing the European Community (the “Treaty”) and Article 5.3 of the Statute of the

concerning a draft bill enabling the Italian Government to issue one or more delegated laws

EMI

concerning the introduction of the euro (“the draft bill”)

(CON/97/17)

1.

On  23  July  1997,  the  EMI  received  a  request  for  an  opinion  on  the  draft  bill  from  the  Italian

Ministry  of  the  Treasury.  An  Explanatory  Memorandum  was  also  submitted  to  the  EMI.  This

opinion  is  based  on  an  unofficial  English  translation  of  the  official  draft  in  the  Italian  language

submitted to the EMI by the consulting authority.

2.

The EMI’s competence to deliver an opinion is based on Article 1.1, first indent, of the Council

Decision (93/717/EC) of 22 November 1993 on the consultation of the EMI by the authorities of

the Member States on draft legislative provisions, as the draft bill contains provisions concerning

the introduction of the euro.

3.

The  EMI  welcomes  the  initiative  of  the  Italian  Government  to  start  early  preparation  for  the

introduction of the euro, to ensure the timely implementation of the measures necessary for the

transition. The purpose of the delegation to the Italian Government of the power to issue laws in

this field is the achievement in a shorter time of the procedure for the adoption of the necessary

substantive rules needed for the introduction of the euro. Thus, with a view to the date for the

start  of  the  third  stage,  the  Italian  legal  system  will  already  be  equipped  with  the  necessary

legislative tools on 1 January 1999.

4.

The  law  delegating  the  legislative  power  to  the  Italian  Government  establishes  some  limits  and

imposes some criteria to this power. The EMI welcomes that the directive criteria and principles

contained in the draft bill fully reflect the Conclusions of the European Council of Madrid and the

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two EC regulations dealing with the introductions of the euro.1 Particular relevance is granted to
the principle of continuity of legal instruments, of neutrality of the transition from the lira to the

euro, of transparency and full information of the public, of graduality of changes.

5.

Article 3 of the draft bill leaves some discretion  as  regards  the  subjects  and  matters  on  which

provisions  may  be  issued  (“...shall  be  issued  to  govern  in  particular  the  subjects  and

matters...”).  It  is  understood  that  the  adoption  of  any  such  provision  must  not  conflict  with

comprehensive  legislation  on  the  Community  level  as  provided  for  in  Article  2.1  and  (g)  of  the

draft bill.

6.

As  regards  in  particular,  the  redenomination  of  the  financial  instruments  in  euro,  the  EMI

positively  notes  that  Article  7(1)  of  the  draft  bill  foresees  the  power  to  draft  the  rules  on  the

modalities  according  to  which  the  redenomination  will  be  possible  from  the  beginning  of  the

transitional  period,  both  for  debt  and  other  financial  instruments  of  the  Italian  State  and  for

private financial instruments. It is understood that these modalities will preserve, in the case of
private instruments, the contractual freedom of the parties.2

7.

The  EMI  welcomes  the  fact  that  rules  governing  the  dematerialisation  of  public  and  private

financial  instruments  will  be  adopted  in  the  delegated  laws.  Dematerialisation  indeed  facilitates

the re-denomination of financial instruments.

8.

The EMI takes note of the fact that, already in the transitional period, the possibility to make and

receive  cashless  payments  in  euro  to  and  from  the  public  administration  will  be  granted  to  the

private  persons  (Article  12.2  of  the  draft  bill)  and  as  regards  accounting  documents,  public

administration  offices  will  specify  amounts  both  in  lire  and  euro  (Article  13  of  the  draft  bill).

These provisions are in conformity with the basic principles governing the changeover scenario

endorsed by the European Council, particularly with the one of “no compulsion - no prohibition”.

9. While the present draft bill only delegates some legislative powers of the government, it will be

for the delegated laws to define the substance of the rules regulating the introduction of the euro

in  its  various  aspects.  The  EMI  looks  forward  to  receiving,  as  announced  in  the  letter  of  the

Italian  Ministry  of  Finance,  requests  for  opinion  on  these  texts,  as  soon  as  the  drafting  will  be

completed.

1  Council Regulation (EC) n.1103/97 of 17.6.1997 on certain provisions relating to the introduction of the euro,
OJ n. L 162 of 19.6.1997, p.1 ff.; Council Regulation on the introduction of the euro, to be adopted in 1998,
already agreed and published in OJ n. C 236 of 2.8.1997, p.8 ff.

2  On  this  point  Article  8.4,  first  indent,  of  the  Council  Regulation  on  the  introduction  of  the  euro  should  be

recalled.

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The  EMI  confirms  that  it  has  no  objection  to  this  opinion  being  made  public  by  the  competent  Italian

authorities at their discretion.

9 September 1997