The Bank of Finland acts as Finland's central bank, national monetary authority and member of the European System of central banks and the Eurosystem. It is the fourth oldest central bank in the world.
The Eurosystem covers the European Central Bank and the euro area central banks. It administers the world's second largest currency, the euro. There are over 300 million people living in the euro area and from the beginning of 2008 the area covers 15 countries. Therefore, the Bank of Finland's strategies are related to both domestic and Eurosystem objectives.
The main objective of the Eurosystem and Bank of Finland alike is price stability, which means maintaining a moderate rise in consumer prices. Price stability creates the prerequisites for a sound economy. In order to meet this objective, the Bank of Finland participates in the preparation and decision-making process of the Eurosystem's monetary policy as well as implementing the policy in Finland. A broad research base provides a solid background to the Bank's expertise in these tasks.
In addition to monetary policy and research, the Bank of Finland has three other core functions:
One of the aims of the Bank of Finland is to be an active participant in the Eurosystem. This participation is based on the high level of professional expertise of the economists and other experts employed by the Bank. One pillar of this expertise is research that places the Bank of Finland among the world’s leading central banks in selected key areas. Since the Bank's research should meet academic standards, they seek to publish their research reports in recognised international journals. At the same time, they utilise synergic benefits between research and policy analysis.