ECCB Communications Workshop for ECCU Media Practitioners

Eastern Caribbean Central Bank

Eastern Caribbean Central Bank and its Major Functions cont’d

Functions of the ECCB

• Currency Issue and Management of Foreign Reserves – Responsibility for the production and distribution of notes and coins in keeping with the demands of the economy. As circumscribed by the ECCB Agreement 1983 “Subject to paragraph (3) of this article the Bank shall at all times maintain the External Reserves in an amount not less than sixty per cent of the value of the currency issued or deemed by the Bank to have been issued by it and in circulation and other demand liabilities but excluding coin issued for commemorative purposes.” • Banker to Governments – The Central Bank may provide deposit and borrowing facilities to governments, administer the public debt, act as fiscal agent and render technical advice on matters of monetary and financial policy. • Banker to Commercial Banks – Embraces; (i) Commercial banks’ holding of minimum cash balances with the Central Bank as statutory reserves; (ii) Provision by the Central Bank of a Clearing House Facility where commercial banks meet daily fro presentation of cheques and for settlement of balances as a result of the mutual claims and debts of each bank. • Bank Supervision – The Primary objective of bank supervision is to foster and maintain sound banking conditions so as to ensure continuation of essential banking services

• Conduct of Monetary Policy

Transforming The ECCU Together

3/30/2026

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