BK IRELD NC PRF'A : ECB's subscribed capital to remain steady after Bank of England leaves the European System of Central Banks
January 31, 2020 at 07:34 am EST
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Total subscribed capital of the ECB to remain at EUR10.8 billion.
ECB to repay Bank of England's share in its paid-up capital (EUR58 million)
Bank of England's share in ECB's subscribed capital to be reallocated among remaining national central banks
The European Central Bank (ECB) will keep its subscribed capital steady at EUR10.8 billion after the Bank of England leaves the European System of Central Banks (ESCB). The current share of the Bank of England in the ECB's subscribed capital, which stands at 14.3%, will be reallocated among both the euro area national central banks (NCBs) and the remaining non-euro area NCBs.
The Bank of England is due to withdraw from the ESCB as a consequence of the United Kingdom's exit from the European Union. It holds 14.3% of the ECB's subscribed capital, of which 3.75% - equivalent to EUR58 million - is paid up. This amount will be repaid by the ECB under the terms of the Withdrawal Agreement between the UK and the EU.
As a result, the ECB's subscribed capital will be reallocated among the other NCBs on the basis of an updated key for subscription to the ECB's capital. The weightings will be recalculated based on each Member State's share in the total population and gross domestic product (GDP) of the European Union after the UK leaves the European Union.
Euro area NCBs pay up 100% of their subscriptions to the ECB's capital, while non-euro area NCBs pay up 3.75% of their subscriptions. Since the shares of euro area NCBs will increase, and will be paid up in full, this will lead to an increase in the ECB's paid-up capital from EUR7,659 million in 2020 to EUR8,880 million in 2022, as shown in the table below. The ECB's paid-up capital will remain unchanged in the year of the United Kingdom's withdrawal from the EU as the remaining NCBs will cover the withdrawn Bank of England's paid-up capital of EUR58 million. Euro area NCBs will then pay up in full their increased subscriptions in two annual instalments, with the first due in 2021. These changes are an investment reflected in the NCBs' balance sheets.
Breakdown of contributions following Brexit
Euro area NCBs
Capital key
Subscribed capital
Paid-up capital
2020
2021
2022
%
EUR
EUR
EUR
EUR
Nationale Bank van Belgie/ Banque Nationale de Belgique
2.9630
320,744,959
276,290,917
298,517,938
320,744,959
Deutsche Bundesbank
21.4394
2,320,816,566
1,999,160,135
2,159,988,350
2,320,816,566
Eesti Pank
0.2291
24,800,091
21,362,892
23,081,492
24,800,091
Central Bank of Ireland
1.3772
149,081,997
128,419,794
138,750,896
149,081,997
Bank of Greece
2.0117
217,766,667
187,585,028
202,675,847
217,766,667
Banco de Espana
9.6981
1,049,820,011
904,318,913
977,069,462
1,049,820,011
Banque de France
16.6108
1,798,120,274
1,548,907,580
1,673,513,927
1,798,120,274
Banca d'Italia
13.8165
1,495,637,102
1,288,347,435
1,391,992,268
1,495,637,102
Central Bank of Cyprus
0.1750
18,943,762
16,318,228
17,630,995
18,943,762
Latvijas Banka
0.3169
34,304,447
29,549,980
31,927,214
34,304,447
Lietuvos bankas
0.4707
50,953,308
43,891,372
47,422,340
50,953,308
Banque centrale du Luxembourg
0.2679
29,000,194
24,980,876
26,990,535
29,000,194
Central Bank of Malta
0.0853
9,233,731
7,953,971
8,593,851
9,233,731
De Nederlandsche Bank
4.7662
515,941,487
444,433,941
480,187,714
515,941,487
Oesterreichische Nationalbank
2.3804
257,678,468
221,965,204
239,821,836
257,678,468
Banco de Portugal
1.9035
206,054,010
177,495,700
191,774,855
206,054,010
Banka Slovenije
0.3916
42,390,728
36,515,533
39,453,130
42,390,728
Narodna banka Slovenska
0.9314
100,824,116
86,850,273
93,837,195
100,824,116
Suomen Pankki - Finlands Bank
1.4939
161,714,781
139,301,721
150,508,251
161,714,781
Subtotal for the group of euro area NCBs
81.3286
8,803,826,700
7,583,649,493
8,193,738,097
8,803,826,700
????????? ??????? ????? (Bulgarian National Bank)
0.9832
106,431,470
3,991,180
3,991,180
3,991,180
Ceska narodni banka
1.8794
203,445,183
7,629,194
7,629,194
7,629,194
Danmarks Nationalbank
1.7591
190,422,699
7,140,851
7,140,851
7,140,851
Hrvatska narodna banka
0.6595
71,390,922
2,677,160
2,677,160
2,677,160
Magyar Nemzeti Bank
1.5488
167,657,709
6,287,164
6,287,164
6,287,164
Narodowy Bank Polski
6.0335
653,126,802
24,492,255
24,492,255
24,492,255
Banca Nationala a Romniei
2.8289
306,228,625
11,483,573
11,483,573
11,483,573
Sveriges Riksbank
2.9790
322,476,961
12,092,886
12,092,886
12,092,886
Subtotal for the group of non-euro area NCBs
18.6714
2,021,180,370
75,794,264
75,794,264
75,794,264
Total
100.0000
10,825,007,070
7,659,443,757
8,269,532,360
8,879,620,963
The numbers may not add up owing to rounding.
For media queries, please contact William Lelieveldt, tel.: +49 69 1344 7316.
Notes:
Detailed information on the ECB's capital subscription
Explainer: Who owns the ECB?
Annual accounts of the ESCB and of the ECB
The relevant legal acts related to the NCBs' contributions to the ECB capital after Brexit will be published in the Official Journal of the European Union on 1 February 2020.
European Central Bank
Directorate General Communications
Sonnemannstrasse 20, 60314 Frankfurt am Main, Germany