2003/797/EC: Decision of the European Central Bank of 7 November 2003 concerning the administration of the borrowing-and-lending operations concluded by the European Community under the medium-term financial assistance facility (ECB/2003/14)
Date: 2003-11-07
Institutions: European Central Bank
Subjects: Community loan, EU borrowing, European Central Bank, balance of payments, financial aid

15.11.2003

EN

Official Journal of the European Union

L 297/35

II

(Acts whose publication is not obligatory)

EUROPEAN CENTRAL BANK

DECISION OF THE EUROPEAN CENTRAL BANK

of 7 November 2003

concerning the administration of

the borrowing-and-lending operations concluded by the

European Community under the medium-term financial assistance facility

(ECB/2003/14)

(2003/797/EC)

THE GENERAL COUNCIL OF THE EUROPEAN CENTRAL BANK,

Having regard to the Treaty establishing the European Com-
munity and in particular Article 119 and Article 123(2)
thereof,

Having regard to the Statute of the European System of Central
Banks and of the European Central Bank and in particular
Article 21.2, Article 44 and the first indent of Article 47.1
thereof,

Having regard to Council Regulation (EC) No 332/2002 of 18
February 2002 establishing a facility providing medium-term
financial assistance for Member States' balances of payments (1)
and in particular Article 9 thereof,

Whereas:

(1)

In accordance with Article 123(2) of the Treaty and the
first paragraph of Article 44 of the Statute, and pursuant
to Article 1(1) of Decision ECB/1998/NP2 of 23 June
1998 concerning the performance by the European
from the
Central Bank of certain tasks taken over
European Monetary Institute, the European Central Bank
(ECB) took over the tasks of the European Monetary
Institute (EMI) referred to in the fifth indent of Article
117(2) of the Treaty, the fifth indent of Article 4.1 and
the third indent of Article 6.1 of the Statute of the EMI,
until no later than the day immediately preceding the
first day of the third stage of economic and monetary
union (third stage).

the

for Member States' balances of payments (2), the EMI's
Decision No 8/95 of 2 May 1995 concerning the admin-
operations
istration of
concluded by the European Community under
the
medium-term financial assistance mechanism remained
valid and continued to apply as of the first day of the
third stage.

borrowing-and-lending

(3)

(4)

(5)

(6)

The functions mentioned under recital 2 were performed
on the basis of Article 11 of Council Regulation (EEC)
No 1969/88 of 24 June 1988 establishing a single
facility providing medium-term financial assistance for
Member States' balances of payments (3).

Regulation (EC) No 332/2002, which entered into force
on 24 February 2002, repealed Regulation (EEC) No
1969/88.

According to Article 9 of Regulation (EC) No 332/2002,
the ECB must make the necessary arrangements for the
administration of the loans granted under the medium-
term financial assistance facility established by this Regu-
lation.

This decision implementing Article 9 of Regulation (EC)
No 332/2002 will repeal Decision ECB/1998/NP15. In
view of the fact that the other tasks and decisions of the
EMI referred to in Decision ECB/1998/NP2 are also no
longer valid or applicable in the third stage, Decision
ECB/1998/NP2 may,
in the interest of clarity, also be
repealed,

(2)

Pursuant to Decision ECB/1998/NP15 of 1 December
1998 concerning the performance by the ECB of certain
functions relating to medium-term financial assistance

(1) OJ L 53, 23.2.2002, p. 1.

(2) Published as Annex V to Decision ECB/2000/12 of 10 November
2000 on the publication of certain legal acts and instruments of the
European Central Bank (OJ L 55, 24.2.2001, p. 76).

(3) OJ L 178, 8.7.1988, p. 1; Regulation as amended by the 1994 Act

of Accession.

L 297/36

EN

Official Journal of the European Union

15.11.2003

HAS ADOPTED THIS DECISION:

Article 6

Article 1

The ECB shall perform the tasks stipulated in Article 9 of Regu-
lation (EC) No 332/2002, in the manner described in Articles 2
to 8 hereafter.

Article 2

connected with

European Community's
Payments
borrowing-and-lending operations shall be effected through the
accounts that the ECB shall open in the ECB's name.

the

Article 3

Funds received by the ECB,

1.
the
European Community, under borrowing arrangements entered
into by the latter, shall be transferred on the same value date to
the account specified by the national central bank of
the
Member State receiving the corresponding loan.

for the account of

for the account of

Funds received by the ECB,

the
2.
European Community,
in respect of payment of interest or
repayment of the principal from the Member State that has
received the loan, shall be transferred on the same value date to
the accounts specified by the creditors under the borrowing
arrangements entered into by the European Community.

Article 4

For each borrowing and lending operation the ECB shall open
the following accounts in euro in its books:

(a) a nostro account entitled ‘Balances in euro held with …’
corresponding to the funds received for the account of the
European Community;

(b) an account on the liabilities side forming the counterpart of

the account referred to under (a);

(c) a memorandum account, entitled ‘European Community
liabilities in respect of European Community borrowing
operations’, divided, where applicable,
into sub-accounts
corresponding to the individual creditors in respect of
borrowing arrangements;

(d) a memorandum account, entitled ‘European Community
claims in respect of European Community lending opera-
tions’.

The ECB shall check the due dates laid down in the
the payment of

1.
borrowing-and-lending arrangements
for
interest and the repayment of the principal.

2.
At least 15 calendar days before each due date the ECB
shall notify the national central bank of the Member State that
is in debt to the European Community.

Article 7

The ECB shall immediately inform the European Commission
in writing of any operation which it has carried out for the
account of the European Community. The ECB shall address
such communications to the attention of
the Directorate-
General for Economic and Financial Affairs at the European
Commission.

Article 8

At the end of each calendar year, the ECB shall prepare a report
to inform the European Commission of the financial operations
in connection with
it has carried out during the year
borrowing-and-lending operations. This report shall contain a
statement of the European Community's claims and liabilities
arising out of the borrowing-and-lending operations.

Article 9

Decision ECB/1998/NP2 and Decision ECB/1998/NP15 are
hereby repealed.

Article 10

The Executive Board of the ECB shall make all the arrange-
ments necessary to give effect to this Decision.

Article 11

This Decision shall enter into force on the day following its
publication in the Official Journal of the European Union.

Article 5

Done at Frankfurt am Main, 7 November 2003.

The ECB shall book the financial operations described in Article
3 on their value date by debiting or crediting the accounts
mentioned in Article 4.

On behalf of the General Council of the ECB

Jean-Claude TRICHET