The Riksbank is led by an Executive Board of six members. The Executive Board has a collective responsibility for the bank’s main tasks, maintaining price stability and promoting a safe and efficient payment system. The Board is also responsible for the Riksbank’s other activities, such as the management of the gold and foreign exchange reserve and the supply of banknotes and coins. The Chairman of the Executive Board is the Governor of the Riksbank, Lars Heikensten (picture).
The Instrument of Government in the Swedish Constitution grants the Riksbank an independent status with regard to responsibility for monetary policy. The Executive Board shall make its own, independent assessments and must not take instructions from any party.
The role of the Riksdag
The Riksbank is an authority under the Riksdag (the Swedish parliament). Following each general election, the Riksdag appoints eleven members to the General Council of the Riksbank, which thereby reflects the political composition of the Riksdag. The six members of the Riksbank’s Executive Board are appointed by the General Council for a term of office lasting six years. This means that one member will be appointed each year according to a rolling schedule. Otherwise, the main role of the General Council is to oversee and control the work of the Executive Board. The Chairman and Vice Chairman of the General Council have the right to attend Executive Board meetings and to express an opinion, but not to make proposals or participate in the decision-making.
The Riksbank reports to the Riksdag on monetary policy by means of a written report twice a year. When the report is presented, the Governor of the Riksbank attends a public hearing at the Riksdag Committee on Finance. The Riksbank’s annual report is presented to the Riksdag in February every year. In addition, the Governor or any other member of the Executive Board may be invited by the Committee on Finance to discuss special issues of interest to the Committee.