Nice EU Treaty needed for European Central Bank

- Central Banking staff
- 08 Dec 2000

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As European Union leaders gather in Nice to reform the bloc's decision making processes in preparation for enlargement, one crucial item is absent from the agenda: the European Central Bank. A new paper by the Centre for Economic Policy Research says that if this issue is not resolved the ECB could be left dysfunctional.

Just as a 27-member EU would likely face gridlock without changes to its voting rules, the ECB's ability to take tough decisions on interest rates could be impaired if the

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