E.The Deutsche Bundesbank’s considerations to set up a kind of embassy to the European Union in Brussels are currently causing discussions. The matter has apparently not yet been decided, but what you have heard so far is the following: The Bundesbank wants to be more involved in numerous European issues that are of high relevance to the central bank, be it digital central bank money or European banking regulation . The motto should be: “We want to listen and be heard”. A dedicated representative office could be set up in Brussels for this purpose.
That could be tricky because in the event of content-related conflicts between the European Central Bank and the Deutsche Bundesbank, which have occurred time and again in the past, the national German institution could also be more present at the European level. At least the ECB could possibly interpret such a step as an attempt by the Bundesbank to want to intervene more in its European interests in the future. The ECB, which itself operates a representative office in Brussels, did not want to comment on this issue when asked.
The Bundesbank has already had employees in Brussels so far. Such an approach is therefore not entirely new. She has sent employees to the Economic and Finance Committee of the European Parliament and to the Permanent Representation of the Federal Republic of Germany to the European Union. The Bundesbank also operates its own representative offices in New York and Tokyo. Something similar is conceivable for Brussels, it is said.
On the news service Twitter, many economists are now discussing the question of whether this is actually a good idea. The debate was initiated by the Berlin economics professor and director of the union-related Institute for Macroeconomics and Business Cycle Research (IMK), Sebastian Dullien, who pointed out above all that the Bundesbank is part of the ECB system. There were numerous critical reactions about the intelligence service, which even reached as far as the question of whether the Bundesbank just wanted to make the ordo-liberal voice more heard in Europe or whether it was secretly dreaming of leaving the monetary union. Economist Markus Demary from the Institute of German Economy in Cologne was more sober. He raised the question of whether every institution was not actually represented in Brussels – to be closer to European issues, a laudable undertaking.
The Bundesbank does not seem to be completely unaffected by any counter-arguments. In any case, it can be heard that setting up a representative office in Brussels is a possible option – another is definitely a joint solution in the Eurosystem. The decision has not yet been made.