Spain will lose weight in the ECB capital in 2024

Spanish state You will lose weight in the capital of the European Central Bank From 2024. The Bank of Spain will see its participation in the union’s monetary regulator reduced by three basis points, up to 9.66% of the total, approximately 1,046.6 million euros. In this way, Spain will be one of the nine member states that will fall within the official capitalization of the Frankfurt-based organization. However, the major economies will not be the only ones to suffer from this impact: central banks French I Italian They will also decline, meaning both will remain much higher than the Spanish contribution. Consequently, Italy will see a decrease in the ECB’s capital ratio Up to 13.09%; While France will even contract 16.35% of the total.

For its part, Germany will work to expand its advantage over the rest of the continental economies in terms of participation in the regulatory body. The German Bundesbank was already, to some extent, the government body with a higher proportion of the ECB’s capital; It will rise again on January 1 to 21.77%, more than a fifth of the total. The rest of the economies that increase their role in the capital, Frankfurt, are smaller: only the Netherlands, which jumped to 4.83% of the total, is higher than four points. Austria’s importance also jumps, exceeding 2.4% of the total.

Five-year review

This amendment comes within an unusual cycle of reviews of the European Central Bank’s capital contribution. Although the pace of modernization of rights at the central bank usually takes five years, in February 2020, the European Commission was forced to balance it following the exit of the Bank of England, shortly after the final implementation of Brexit. But in a stable context, the Union’s executive authority reassesses this ratio every five years, in line with the development of the gross domestic product and population in each member state. However, the amendment, which is scheduled to take effect on January 1, will not include – as usual – the redistribution of the positions of bank governors. The total subscribed capital remained unchanged at approximately 10,825 million euros.