Decision (EU) 2020/139 of the European Central Bank of 22 January 2020 laying down the terms and conditions for transfers of the European Central Bank’s capital shares between the national central banks and for the adjustment of the paid-up capital and repealing Decision (EU) 2019/45 (ECB/2020/5)

THE GOVERNING COUNCIL OF THE EUROPEAN CENTRAL BANK,

Having regard to the Treaty on the Functioning of the European Union,

Having regard to the Statute of the European System of Central Banks and of the European Central Bank, and in particular Article 28.5 thereof,

Whereas:

On 29 March 2017, the United Kingdom of Great Britain and Northern Ireland (the ‘United Kingdom’) submitted the notification of its intention to withdraw from the European Union pursuant to Article 50 of the Treaty on European Union. The Treaty on European Union and the Treaty on the Functioning of the European Union will cease to apply to the United Kingdom from the date following the date referred to in Article 1(1) of Decision (EU) 2019/1810 of the European Council^f1. Upon the withdrawal of the United Kingdom from the European Union, the Bank of England (BoE) ceases to be a national central bank of a Member State and therefore of the European System of Central Banks. Decision (EU) 2020/137 of the European Central Bank (ECB/2020/3)^f2 provides for the adjustment of the weightings assigned to the national central banks (NCBs) in the key for subscription to the European Central Bank’s (ECB’s) capital (hereinafter the ‘capital key weightings’ and the ‘capital key’ respectively). This adjustment requires the Governing Council to determine the terms and conditions for transfers of capital shares between the NCBs that are members of the European System of Central Banks on 31 January 2020, in order to ensure that the distribution of these shares corresponds to the adjustments made. Accordingly, the adoption of a new decision is required to repeal Decision (EU) 2019/45 of the European Central Bank (ECB/2018/29)^f3 with effect from 1 February 2020.

Decision (EU) 2020/138 of the European Central Bank (ECB/2020/4)^f4 determines how and to what extent the NCBs of the Member States whose currency is the euro (hereinafter ‘euro area NCBs’) are under an obligation to pay up the ECB’s capital in view of the adjusted capital key. Decision (EU) 2020/136 of the European Central Bank (ECB/2020/2)^f5 determines the percentage that the NCBs of the Member States whose currency is not the euro (hereinafter ‘non-euro area NCBs’) are under an obligation to pay up with effect from 1 February 2020 in view of the adjusted capital key.

Given that each euro area NCB has already paid up its full share in the ECB’s subscribed capital as applicable until 31 January 2020 under Decision (EU) 2019/44 of the European Central Bank (ECB/2018/28)^f6, under Decision (EU) 2020/138 (ECB/2020/4) each euro area NCB should transfer additional amounts to the ECB in order to arrive by 2022 at the amounts shown in the table in Article 1 of that Decision.

Likewise, given that the non-euro area NCBs have already paid up a percentage of their shares in the ECB’s subscribed capital as applicable until 31 January 2020 under Decision (EU) 2019/48 of the European Central Bank (ECB/2018/32)^f7, under Decision (EU) 2020/136 (ECB/2020/2) each remaining non-euro area NCB should transfer an additional amount to the ECB in order to arrive at the amounts shown in the third column of the table in Article 1 of that Decision,

HAS ADOPTED THIS DECISION: