Bank of Spain - Governing Structures

Governing Structures

The governing structures of the Bank is divided among four branches:

1. The Governor.
2. The Sub-Governor.
3. The Governing Council.
4. The Executive Commission.

The Governor of the Bank is formally appointed after the Presidente del Gobierno has designated him/her by the Spanish monarch. The Governor must be a Spanish citizen recognized for his or her competence in monetary or banking matters. When a new Governor is named, the Minister of Economy and Finance, in accord with a procedure established by the Congress of Deputies, informs the competent parliamentary commission. The current Governor is Luis Maria Linde.

The tasks of the Governor include: a) Direct the Bank and preside over the Governing Council and Executive Commission. b) Take primary responsibility for the Bank fulfilling its responsibilities and for doing so in a lawful manner. The Governor has ultimate responsibility authorizing bank contracts and other legal documents and for the Bank's representation before tribunals of justice. c) Represent the Bank in international institutional contexts. d) Function as a member of the Governing Council of the Bank and as a member of the General Council of the European System of Central Banks.

The Sub-Governor, designated by the national Government on the recommendation of the Governor of the Bank, should meet all of the official qualifications for the governorship. The Sub-Governor substitutes for the Governor in cases of vacancy, absence or illness, both as director of the Bank and as its representative. Further responsibilities of this office are a matter internal to the Bank, and are delegated by the Governor.

Six Counsellors of the Bank are designated by the national Government, on the proposal of the Minister of Economy and Finance, with the involvement of the Governor of the Bank. They must be Spanish citizens recognized for their competence in economics or law.

The Executive Commission consists of:

1. The Governor, who presides.
2. The Sub-Governor.
3. Two Counsellors.

The directors general of the Bank attend the meetings of the Executive Commission, with voice but without vote. The Secretary of the Bank functions as secretary of the Executive Commission, but without voice or vote.

The two Counsellors who serve as members of the Executive Commission are designated by the Governing Council, after nomination by the Governor, from among their own members (other than ex officio members). The Governing Council consists of:

1. The Governor.
2. The Sub-Governor.
3. Six Counsellors.
4. The director general of the treasury and of financial policy.
5. The vice president of the Comisión Nacional Nacional del Mercado de Valores ("Stock Market National Commission").

Council meetings are also attended by the directors general of the Bank and by a representative of bank personnel (elected by a means determined by the Bank's internal rules), both with voice, but without vote.

The Minister of Economy and Finance or the Secretario de Estado de Economía ("Secretary of State for the Economy" ) may also attend (with voice, but without vote) those meetings of the Governing Council which will deal with matters relevant to their portfolios. They may also submit a motion for consideration by the Council.

The Secretary of the Bank functions as secretary of the Executive Commission, with voice, but without vote."