WRITTEN QUESTION E-3388/03 by Erik Meijer (GUE/NGL) to the Commission. The gradual downgrading of the role played by national central banks following the establishment of the ECB and the implications for the prevention of the production and distribution of counterfeit money.
Date: 2003-11-17
Institutions: European Parliament, Provisional data
Subjects: European Central Bank, European System of Central Banks, central bank, economic offence, employment statistics, euro area, labour market, paper money

C 78 E/276

Official Journal of the European Union

EN

27.3.2004

What are the various rules in the Member States? Does a Community legal basis exist in this area? If not,
does the Commission feel it necessary, bearing in mind the subsidiarity principle, to assess the situation
with the aim of harmonising the rules in the Member States by means of European rules? If not, why not?

Answer given by Mrs Reding on behalf of the Commission

(22 December 2003)

The Commission has no competence regarding the use of metal-detectors in the field of archaeology. In
order to obtain information on the use of these devices in the various Member States, the Honourable
Member should therefore contact the competent national authorities directly.

At Community level, the EC Treaty does not provide any legal basis for the adoption of rules on the use of
metal-detectors in the field of archaeology.

The Commission therefore does not intend to consider and/or propose any provisions at European level to
regulate this field of activity.

Article 151 of the EC Treaty empowers the Community to encourage cooperation between Member States
in the field of culture but specifically rules out ‘any harmonisation of the laws and regulations of the
Member States’.

(2004/C 78 E/0278)

WRITTEN QUESTION E-3388/03

by Erik Meijer (GUE/NGL) to the Commission

(17 November 2003)

Subject: The gradual downgrading of the role played by national central banks following the establishment
the production and distribution of

the ECB and the implications for the prevention of

of
counterfeit money

1.
Can the Commission confirm that in the 12 EU Member States which have introduced the euro as
legal tender the number of people employed by national central banks, which were previously responsible
for matters relating to the circulation of currency, has fallen substantially since 1998 and is set to fall
much further over coming years?

2. What percentage of these lost jobs are being transferred to the European Central Bank, what
percentage are being transferred to private firms or firms set to be privatised, and what percentage are
disappearing completely as a result of the hiving-off of tasks or computerisation?

3.
Can the Commission state what tasks national central banks will still be responsible for performing
in, respectively, 2010, 2015 and 2020 and what tasks they will then no longer be required to carry out?
How will the latter tasks be taken care of?

4. Will this downgrading of the role played by national central banks ultimately leave them as nothing
more than local branches of the ECB? When does the Commission expect this process to be completed?

5.
Does the ECB or do other institutions compare national central banks with each other in terms of
their staffing levels, and is this leading to competition to determine which bank can manage with the
smallest possible staff? Do these comparisons take account of the volume of tasks performed thus far by
national central banks, which differs from Member State to Member State?

27.3.2004

EN

Official Journal of the European Union

C 78 E/277

In the future, will the ECB issue invitations to tender in connection with the printing of banknotes,
6.
rather than retaining the existing system whereby quotas are allocated to national central banks and
fulfilled by specialist firm which in the past printed national banknotes?

7. Will responsibility for monitoring measures to prevent the production and distribution of counterfeit
money also be taken out of the hands of national central banks and shared in future between the ECB and
private companies providing cash services?

8.
Can the Commission be sure that no bancomat machines anywhere are supplying the public with
counterfeit euro banknotes? If it is unable to guarantee this, what steps are being taken to ensure that this
money withdrawal system does not lead to a proliferation of counterfeit money in the future?

Answer given by Mr Solbes Mira on behalf of the Commission

(16 January 2004)

1. and 2.
The Commission is not in the possession of statistical information on the number of national
central bank (NCB) staff and its evolution over time. It cannot therefore confirm the presumption that the
number of staff in euro area central banks has decreased since 1998, neither can it provide indications on
possible job losses at NCBs resulting from transfers to the European Central Bank (ECB) or to the private
sector.

3.
In accordance with Article 105(2) of the EC Treaty and Article 3(1) of the European System of
Central Banks (ESCB)/ECB Statute, the ESCB, which is composed of the ECB and the NCBs, performs
several tasks:

(cid:1) to define and implement the monetary policy of the Community;

(cid:1) to conduct foreign exchange operations;

(cid:1) to hold and manage the official foreign reserves of the Member States;

(cid:1) to promote the smooth operation of payment systems.

Moreover, Article 3(3) of the ESCB/ECB Statute specifies that the ESCB shall contribute to the smooth
conduct of policies carried out by the competent authorities related to the prudential supervision of credit
institutions and the stability of the financial system. Within the framework of the ESCB, the NCBs are,
moreover, carrying out a variety of additional tasks such as: the collection of statistical information, the
printing of banknotes and the bringing into circulation of banknotes and coins, the conduct of various
financial market operations in the framework of the ESCB’s monetary policy, the conduct of economic
research, etc.

In addition, as provided in Article 14(4) of the ESCB/ECB Statute, NCBs are allowed to carry out tasks
going beyond these statutory requirements. These tasks vary considerably from country to country,
depending on existing practices and traditions in each of them.

The EC Treaty and the ESCB/ECB Statute lay down the objectives, the structure and the tasks of the
4.
ESCB. The Commission disagrees that any downgrading of the NCBs is involved, since both the ECB and
the NCBs play an essential role in the successful functioning of the ESCB and in the achievement of its
objectives.

The Commission is not aware of any comparisons between NCBs as regards their staffing levels.
5.
Since the tasks to be fulfilled by the NCBs may vary considerably from country to country, such
comparisons would be difficult to perform.

The ECB has carried out an in-depth analysis of future procedures for the procurement of banknotes
6.
in the Eurosystem. Among others, the question of whether tendering procedures might be applied in the
medium term for raw materials and the printing of euro banknotes was considered. On 10 July 2003 the
Governing Council decided that from 2008 onwards NCBs without in-house/public printing works will
have recourse to common tendering procedures. NCBs with in-house/public printing works may apply this
scheme if they wish.

C 78 E/278

Official Journal of the European Union

EN

27.3.2004

Up until 2012 a common competitive scheme with tendering procedures will be fully implemented. NCBs
with in-house/public printing works will be allowed to opt out from this scheme.

Community legislation, notably Council Regulation (EC) No 1338/2001 (1), among others provides
7.
for a number of responsibilities at National and Community levels. National authorities have been
designated in each of the Member States, among others National Central Banks. These authorities have
been assigned with specific responsibilities with respect to the fight against euro counterfeiting and co-
operate closely with each other and with the European institutions (ECB, Commission and Europol).
Particularly, ensuring continued public confidence in circulating euro banknotes is a crucial part of the
public task entrusted to the Eurosystem. There is no intention to share this with private cash service
companies.

8.
The Commission is collaborating with Member States in the preparation of legislation aimed at the
timely detection of counterfeits, so as to maximise the protection of the public and ensure the authenticity
of the circulating euro banknotes and coins. Some Member States have initiated specific legislative
measures aimed at detecting counterfeit banknotes before they enter into circulation, to complement the
Article 6 of Regulation (EC) No 1338/2001, and a number of National Central Banks have issued legal acts
which clarify the obligations of and provide guidance to professional cash handlers on acceptable standards
for the sorting of euro banknotes. In addition, the National Central Banks have all (cid:1) depending on the
situation in their respective Member States (cid:1) taken other appropriate measures, such as providing training
for the staff of professional cash handlers.

The ECB has issued Terms of Reference for customer-operated cash recycling machines requiring that such
machines be able to register/identify counterfeit and suspect counterfeit banknotes, as well as the respective
account holder to help with retraceability of attempted deposits of counterfeits. In line with these, National
Central Banks have taken appropriate measures aimed at ensuring that such dispensing machines check
each banknote for authenticity and fitness, thus contributing to the detection of euro counterfeits before
they reach the public.

(1) Council Regulation (EC) No 1338/2001 of 28 June 2001 laying down measures necessary for the protection of the

euro against counterfeiting, OJ L 181, 4.7.2001.

(2004/C 78 E/0279)

WRITTEN QUESTION E-3395/03

by Olivier Dupuis (NI) to the Commission

(17 November 2003)

Subject: Freedom of movement for Kosovo citizens in the EU and the final status of Kosovo

Under EU legislation, Kosovo citizens have no legal means of moving, whether short term or long term,
within the territory of the Union’s Member States in search of employment. (The Western Balkans and the
European Union: Liberalising Movement of Persons’, ILPA, Immigration Law Practitioners’ Association, UK,
March 2003). This means that there is no short-term prospect of resolving the problem of the powder keg
represented by mass unemployment in Kosovo.

In this connection, the former Special Representative of the UN Secretary-General
in Kosovo, Michael
Steiner, has stated that the astronomical unemployment rate and devastating poverty in Kosovo are
obstacles to lasting peace in the region. (SRSG, 2002).

The distinguished Balkan specialist, Misha Glenny, wrote in the Guardian of 9 September 2003 that unless
we find a way, as a matter of extreme urgency, of achieving controlled release of the pressure which has
been building in Kosovo since 1999, we will be facing a very real danger of explosion in the near future.

While the final constitutional status of Kosovo remains, unfortunately, in suspense, no outside investment
in the Kosovo economy is possible. (From this point of view, the impasse in which the EU and the UN find
themselves with regard to the chaotic situation of legislation on property rights is only the most recent
in
example of these difficulties (Institute of War and Peace Reporting, October 2003). These factors,