Article 32 Central Bank of Cyprus
1. The Central Bank of Cyprus shall be the monetary authority of the United
Cyprus Republic. It shall issue currency, define and implement
monetary policy and regulate and supervise credit institutions.
2. The Central Bank shall be independent from other arms of the federal
government and operate in accordance with European Union
requirements.
3. The primary objective of the Central Bank of Cyprus shall be to maintain
price stability.
4. The organs of the Central Bank shall be the Governor and the Deputy-
Governor, the Board of Directors and the Monetary Policy Committee.
Their composition shall be as follows:
a. The Governor and Deputy Governor shall not hail from the same
constituent state. They shall be appointed by the Presidential
Council;
b. The Board of Directors shall consist of five members, including the
Governor and Deputy Governor, with at least two members hailing
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from each constituent state. One member may be a non-Cypriot;
and
c. The Monetary Policy Committee shall consist of seven members,
including the Governor and the Deputy Governor, as well as any non-
Cypriot member of the Board of Directors, with at least three
members hailing from each constituent state.
All decisions of the Board of Directors and the Monetary Policy
Committee shall be taken by simple majority. The law shall otherwise
regulate the appointment of members to the organs of the Central Bank
and their decision-making procedures.
5. The Governor and Deputy Governor shall be appointed for a term of
seven years. The other members of the Board of Directors shall be
appointed for a term of five years, and the other members of the
Monetary Policy Committee for a term of seven years.
6. Within the framework of the European Union the responsibilities and
powers of the Central Bank of Cyprus may be transferred to the
European Central Bank.
7. The law may provide for the establishment of branches of the Central
Bank in each constituent state, and for inclusion of branch directors in
the Board of Directors of the Central Bank.