The Bank is a member of the Eurosystem that gathers the European Central Bank and the National Central Banks of the Member States that have adopted the euro.
It is in charge of managing all the monetary and financial responsibilities granted to it as one of the National Central Banks of the ESCB.
It participates in the Single Supervisory Mechanism (SSM).
At the national level, the Bank has to carry out the tasks imposed on it by the national laws and conventions.
It is developing the following fields of competence:
- Research and studies and their communication thereof, which aim to prepare, on the one hand, monetary policy decisions and, on the other hand, the development of wider knowledge concerning monetary, financial and economic issues;
- Collection and analysis of statistics in the monetary, financial and balance of payments fields;
- Implementation of monetary policy instruments;
- Organisation and supervision of payment and securities settlement systems;
- Issuance and circulation of banknotes and coins;
- Financial asset management, both on own account and for third parties;
- Participation in the prudential supervision of the financial system and the exercise of the oversight of payment and securities settlement systems, in order to ensure the stability of the financial system in Luxembourg;
- Advisory services to legislative and regulatory authorities in financial and monetary areas.