The mandate of the Czech National Bank
The mandate of the Czech National Bank is based on Act No. 6/1993 Coll. (pdf, 282 kB), on the Czech National Bank, as amended.
- to maintain price stability,
- to maintain financial stability and see to the sound operation of the financial system in the Czech Republic,
- to issue banknotes and coins, manage the circulation of currency and administer clearing between banks,
- to supervise the entities operating on the financial market.
- Through monetary policy we seek to preserve price stability, i.e. low and stable inflation. Through macroprudential policy we foster financial stability and resilience of the financial system, which are necessary conditions for the maintenance of price stability. Through the joint action of monetary policy and macroprudential policy, we contribute to maintaining confidence in the value of the Czech koruna and safeguarding the stability of the macroeconomic environment.
- By supervising the financial market and creating prudential rules and rules of conduct towards clients we protect the clients of persons and institutions carrying on business on the financial market.
- By exercising powers in the area of resolution of banks, credit unions and some investment firms, we create conditions for the smoothest possible resolution without recourse to public funds.
- By managing the interbank payment system and issuing banknotes and coins we ensure smooth payments and cash circulation.
- As the bank of the state, we provide banking services to the state and the public sector.
- In line with our primary objective, we manage international reserves with professional care.
- We are a part of the European System of Central Banks and contribute to the fulfilment of its objectives and tasks.
What we build on
Broad independence of the central bank is a key condition for successful implementation of monetary policy, i.e. for sustained low-inflation growth of the economy, as well as for objective supervision of the financial market.
OPENNESS AND CREDIBILITY
A high degree of independence must go hand in hand with a high degree of accountability to the public for fulfilling our objectives. We inform the public and their elected representatives regularly and openly about our objectives and their fulfilment and about our opinions, plans and predictions. This makes our actions comprehensible, predictable and therefore credible.
Proficient and competent employees are vital if the CNB is to succeed in enhancing its reputation as a credible and open institution at home and on the international stage.