Jean Monnet Network on enforcement of EU law (EULEN)

YRP Projects

The European Central Bank and the interaction between its two mandates: monetary policy of the Euro and banking supervision (by Pieterjan Heynen)

The European Central Bank (ECB) is responsible for both price stability and financial stability. The former is aimed at controlling inflation to maintain a stable Euro, whereas the latter is concerned with the financial health of the largest banks of the Eurozone. To a large extent, these competences go hand in hand. However, there are situations where a decision taken for the sake of price stability has an adverse impact on financial stability, or vice versa. This research project aims to clarify the different conflicts and to analyze whether the ECB’s institutional set-up is sufficiently equipped to accurately deal with them.


Pieterjan Heynen – (

Jan Ronse Institute for Company and Financial Law, KU Leuven