After Lithuania’s accession to the European Union (EU) on 1 May 2004, the Bank of Lithuania became part of the European System of Central Banks (ESCB) and, jointly with the central banks of all EU Member States, participates in the preparation and adoption of decisions of the European Central Bank (ECB) as well as implementation of tasks of the ESCB. After Lithuania joined the euro area on 1 January 2015, the Bank of Lithuania contributes to the implementation of all key tasks of the ESCB performed via the Eurosystem, including defining of euro area’s monetary policy.
Since the beginning of Lithuania’s EU membership, Chairman of the Board of the Bank of Lithuania, together with other governors of EU national central banks, has been participating in the work of the General Council of the ECB — one of the three decision-making bodies of the ECB. Representatives of the Bank of Lithuania participate in the work of ESCB committees and the working groups established by them.
As of 1 January 2015, when Lithuania became a member of the euro area, the Chairman of the Board of the Bank of Lithuania became a full member of the ECB Governing Council, which defines the euro area’s monetary policy, while representatives of the Bank of Lithuania gained the right to vote in dealing with issues issues discussed by ESCB committees that meet in the composition of the Eurosystem.
The Bank of Lithuania also takes part in the work of other EU institutions in preparing and taking decisions in areas related to national central bank functions. The main fora are informal meetings of the Economic and Financial Affairs Council of the EU (ECOFIN) and Economic and Financial Committee, as well as the European Systemic Risk Board and European supervisory authorities, which started working in 2011.