ECB enhances transparency on high-level remuneration

The European Central Bank (ECB) is not a publicly listed company but a European Union institution, a central bank, and a banking supervisor.

Its level of disclosure regarding the remuneration of high-level officials aligns with practices at major central banks and comparable public institutions.

President Christine Lagarde confirmed that the ECB is continuously reviewing its policies and practices to enhance transparency.

Upon her proposal, the Executive Board decided to improve the user-friendliness of already available data.

This includes detailing the percentages of basic salary applied for functional allowances, such as representation and residence allowances, within the Annual Accounts 2025. The Governing Council is expected to view these enhancements positively when considering the Annual Accounts next week.

The remuneration structure for Executive Board members, including the President, was established in 1998 based on a proposal from a committee of non-ECB officials and has only seen annual general salary adjustments since then.

President Lagarde also clarified her membership on the Board of Directors for the Bank for International Settlements (BIS).

This role involves participating in BIS governance decisions, carrying significant governance responsibilities that may entail personal legal liability.

In recognition of these duties and risks, the BIS remunerated this activity with CHF 130,457 in 2025. Lagarde's BIS Board membership is considered an official mandate under the dedicated Code of Conduct for high-level ECB officials, which allows Governing Council members to pursue such roles.

As this activity is remunerated by the BIS and not the ECB, it is not included in the ECB Annual Accounts, which detail remuneration paid by the ECB to its Executive Board members.