# European Central Bank

- Link: https://euemployment.eu/glossary/european-central-bank/
- Published: 2024-02-28T11:19:52+01:00
- Author: Ben

The European Central Bank (ECB) is the central bank for the eurozone, the group 
of European Union (EU) member states that have adopted the euro as their common 
currency.

The ECB is responsible for managing the monetary policy of the eurozone with the
primary objective of maintaining price stability, which is essential for economic
growth and prosperity. It achieves this by setting key interest rates and controlling
the money supply.

The ECB also has a role in the prudential supervision of financial institutions 
within the eurozone as part of the Single Supervisory Mechanism. It works in unison
with such EU institutions as the European Banking Authority (EBA), the Single Resolution
Board (SRB), and the upcoming [European Authority for Anti-Money Laundering and Countering Terrorist Financing](https://euemployment.eu/amla-eu-anti-money-laundering-authority-frankfurt/)(
[AMLA](https://euemployment.eu/glossary/amla/)).

The bank is headquartered in Frankfurt, Germany, and its operations are crucial 
for the stability and integration of the EU’s banking and financial systems.