New organisation for Bank of Finland from 1 March 2005
Releases
Press release number 6
Friday 25 February 2005, 12:00 AM
The new organisation sees the increased concentration of functions into more comprehensive departments, thereby rationalising the use of the Bank's resources as well as enhancing synergy and communication between operational sectors. The old organisation was composed of 18 departments and special units, whose functions are now to be concentrated into 6 new departments plus a special unit to handle the internal audit.
Governor Erkki Liikanen bears overall responsibility for European Central Bank-related matters. The Governor is a member of the Governing Council, the monetary policy decision-making organ at the ECB. His areas of responsibility also include the Bank's General Secretariat and the Internal Audit unit. The activities covered by the General Secretariat comprise, for example, communication, legal affairs and strategic planning issues.
Responsibility for Financial Markets and Statistics as well as for Payment Instruments will fall to Matti Louekoski, Deputy Governor. The new Financial Markets and Statistics department is charged with the maintenance and development of stable and efficient financial and payment systems in Finland as well as with the production of data on Finland for euro area and national financial and balance of payments statistical data bases. The Payment Instruments department is responsible for maintaining the country's supply of euro banknotes and coins, ensuring the quality and authenticity of the currency in circulation as well as for managing regional currency supplies in Finland.
Member of the Board Sinikka Salo will take on responsibility for the new Monetary Policy and Research department. The department participates in preparations for the Eurosystem's monetary policy in addition to analysis and responsibility for the Bank's macroeconomic forecasting. The Bank of Finland's Institute for Economies in Transition (BOFIT) and the Research division also fall under the auspices of the new department. Studies undertaken by the Research division are directed at monetary policy, the functioning of financial markets and the functioning of payment systems. BOFIT, on the other hand, has specialised in monitoring and analysing economic developments in Russia and China, in particular.
Responsibility for the Banking Operations department and Administration department will fall to Pentti Hakkarainen, Member of the Board. The Banking Operations department implements the Eurosystem's monetary policy through market operations in Finland in addition to taking care of investment of foreign reserves and risk management. The department also provides central banking services concerning liquidity, credit and deposit issues, as well as concerning domestic and international payment transfers, to financial institutions operating in Finland. Administration is responsible for administrative and personnel matters, the Bank's IT functions and security in addition to centralised real estate management and various internal services.