Transitional provisions for the application of minimum reserves by the ECB following the introduction of the euro in Slovakia
On 28 October 2008, the Executive Board of the ECB adopted a Decision on the application of minimum reserves by the European Central Bank following the introduction of the euro in Slovakia (ECB/2008/14), which will take place on 1 January 2009.
From 1 January 2009, credit institutions and branches of credit institutions (hereafter referred to as “institutions”) located in Slovakia will be subject to the Eurosystem minimum reserve requirements. Given that the regular reserve maintenance period runs from 10 December 2008 to 20 January 2009, the integration of institutions located in Slovakia into the Eurosystem’s minimum reserve system requires the adoption of transitional provisions so as to ensure smooth integration without creating a disproportionate burden for institutions located in euro area countries, including Slovakia.
The Decision provides for a transitional maintenance period from 1 January 2009 to 20 January 2009 for the imposition of minimum reserve requirements on institutions located in Slovakia. Furthermore, the Decision sets out specific rules governing the imposition of minimum reserve requirements during the transitional period and, in particular, provides for the method of calculating the reserve base in relation to the transitional period insofar as liabilities owed to institutions located in Slovakia are concerned.
The Decision will be published in the Official Journal of the European Union and will also be available on the ECB's website (www.ecb.europa.eu).