28.11.1998 EN Official Journal of the European Communities L 320/54 DIRECTIVE 98/84/EC OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL of 20 November 1998 on the legal protection of services based on, or consisting of, conditional access THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Treaty establishing the European Community, and in particular Articles 57(2), 66 and 100a thereof, Having regard to the proposal from the Commission (1), Having regard to the opinion of the Economic and Social Committee (2), Acting in accordance with the procedure laid down in Article 189b of the Treaty (3), (1) Whereas the objectives of the Community as laid down in the Treaty include creating an ever closer union among the peoples of Europe and ensuring economic and social progress, by eliminating the barriers which divide them; (2) Whereas the cross-border provision of broadcasting and information society services may contribute, from the individual point of view, to the full effectiveness of freedom of expression as a fundamental right and, from the collective point of view, to the achievement of the objectives laid down in the Treaty; (3) Whereas the Treaty provides for the free movement of all services which are normally provided for remuneration; whereas this right, as applied to broadcasting and information society services, is also a specific manifestation in Community law of a more general principle, namely freedom of expression as enshrined in Article 10 of the European Convention for the Protection of Human Rights and Fundamental Freedoms; whereas that Article explicitly recognizes the right of citizens to receive and impart information regardless of frontiers and whereas any restriction of that right must be based on due consideration of other legitimate interests deserving of legal protection; (4) Whereas the Commission undertook a wide-ranging consultation based on the Green Paper ‘Legal Protection of Encrypted Services in the Internal Market’; whereas the results of that consultation confirmed the need for a Community legal instrument ensuring the legal protection of all those services whose remuneration relies on conditional access; (5) Whereas the European Parliament, in its Resolution of 13 May 1997 on the Green Paper (4), called on the Commission to present a proposal for a Directive covering all encoded services in respect of which encoding is used to ensure payment of a fee, and agreed that this should include information society services provided at a distance by electronic means and at the individual request of a service receiver, as well as broadcasting services; (6) Whereas the opportunities offered by digital technologies provide the potential for increasing consumer choice and contributing to cultural pluralism, by developing an even wider range of services within the meaning of Articles 59 and 60 of the Treaty; whereas the viability of those services will often depend on the use of conditional access in order to obtain the remuneration of the service provider; whereas, accordingly, the legal protection of service providers against illicit devices which allow access to these services free of charge seems necessary in order to ensure the economic viability of the services; (7) Whereas the importance of this issue was recognized by the Commission Communication on ‘A European Initiative in Electronic Commerce’; (8) Whereas, in accordance with Article 7a of the Treaty, the internal market is to comprise an area without internal frontiers in which the free movement of services and goods is ensured; whereas Article 128(4) of the Treaty requires the Community to take cultural aspects into account in its action under other provisions of the Treaty; whereas by virtue of Article 130(3) of the Treaty, the Community must, through the policies and activities it pursues, contribute to creating the conditions necessary for the competitiveness of its industry; (9) Whereas this Directive is without prejudice to possible future Community or national provisions meant to ensure that a number of broadcasting services, recognized as being of public interest, are not based on conditional access; (10) Whereas this Directive is without prejudice to the cultural aspects of any further Community action concerning new services; (11) Whereas the disparity between national rules concerning the legal protection of services based on, or consisting of, conditional access is liable to create obstacles to the free movement of services and goods; (12) Whereas the application of the Treaty is not sufficient to remove these internal market obstacles; whereas those obstacles should therefore be removed by providing for an equivalent level of protection between Member States; whereas this implies an approximation of the national rules relating to the commercial activities which concern illicit devices; (13) Whereas it seems necessary to ensure that Member States provide appropriate legal protection against the placing on the market, for direct or indirect financial gain, of an illicit device which enables or facilitates without authority the circumvention of any technological measures designed to protect the remuneration of a legally provided service; (14) Whereas those commercial activities which concern illicit devices include commercial communications covering all forms of advertising, direct marketing, sponsorship, sales promotion and public relations promoting such products and services; (15) Whereas those commercial activities are detrimental to consumers who are misled about the origin of illicit devices; whereas a high level of consumer protection is needed in order to fight against this kind of consumer fraud; whereas Article 129a(l) of the Treaty provides that the Community should contribute to the achievement of a high level of consumer protection by the measures it adopts pursuant to Article 100a thereof; (16) Whereas, therefore, the legal framework for the creation of a single audiovisual area laid down in Council Directive 89/552/EEC of 3 October 1989 on the coordination of certain provisions laid down by law, regulation or administrative action in Member States concerning the pursuit of television broadcasting activities (5) should be supplemented with reference to conditional access techniques as laid down in this Directive, in order, not least, to ensure equal treatment of the suppliers of cross-border broadcasts, regardless of their place of establishment; (17) Whereas, in accordance with the Council Resolution of 29 June 1995 on the effective uniform application of Community law and on the penalties applicable for breaches of Community law in the internal market (6), Member States are required to take action to ensure that Community law is duly applied with the same effectiveness and thoroughness as national law; (18) Whereas, in accordance with Article 5 of the Treaty, Member States are required to take all appropriate measures to guarantee the application and effectiveness of Community law, in particular by ensuring that the sanctions chosen are effective, dissuasive and proportionate and the remedies appropriate; (19) Whereas the approximation of the laws, regulations and administrative provisions of the Member States should be limited to what is needed in order to achieve the objectives of the internal market, in accordance with the principle of proportionality as set out in the third paragraph of Article 3b of the Treaty; (20) Whereas the distribution of illicit devices includes transfer by any means and putting such devices on the market for circulation inside or outside the Community; (21) Whereas this Directive is without prejudice to the application of any national provisions which may prohibit the private possession of illicit devices, to the application of Community competition rules and to the application of Community rules concerning intellectual property rights; (22) Whereas national law concerning sanctions and remedies for infringing commercial activities may provide that the activities have to be carried out in the knowledge or with reasonable grounds for knowing that the devices in question were illicit; (23) Whereas the sanctions and remedies provided for under this Directive are without prejudice to any other sanction or remedy for which provision may be made under national law, such as preventive measures in general or seizure of illicit devices; whereas Member States are not obliged to provide criminal sanctions for infringing activities covered by this Directive; whereas Member States' provisions for actions for damages are to be be in conformity with their national legislative and judicial systems; (24) Whereas this Directive is without prejudice to the application of national rules which do not fall within the field herein coordinated, such as those adopted for the protection of minors, including those in compliance with Directive 89/552/EEC, or national provisions concerned with public policy or public security, HAVE ADOPTED THIS DIRECTIVE: Article 1 Scope The objective of this Directive is to approximate provisions in the Member States concerning measures against illicit devices which give unauthorised access to protected services. Article 2 Definitions For the purposes of this Directive: (a) protected service shall mean any of the following services, where provided against remuneration and on the basis of conditional access: — television broadcasting, as defined in Article l(a) of Directive 89/552/EEC, — radio broadcasting, meaning any transmission by wire or over the air, including by satellite, of radio programmes intended for reception by the public, — information society services within the meaning of Article 1(2) of Directive 98/34/EC of the European Parliament and of the Council of 22 June 1998 laying down a procedure for the provision of information in the field of technical standards and regulations and of rules on information society services (7), or the provision of conditional access to the above services considered as a service in its own right; (b) conditional access shall mean any technical measure and/or arrangement whereby access to the protected service in an intelligible form is made conditional upon prior individual authorisation; (c) conditional access device shall mean any equipment or software designed or adapted to give access to a protected service in an intelligible form; (d) associated service shall mean the installation, maintenance or replacement of conditional access devices, as well as the provision of commercial communication services in relation to them or to protected services; (e) illicit device shall mean any equipment or software designed or adapted to give access to a protected service in an intelligible form without the authorisation of the service provider; (f) field coordinated by this Directive shall mean any provision relating to the infringing activities specified in Article 4. Article 3 Internal market principles 1. Each Member State shall take the measures necessary to prohibit on its territory the activities listed in Article 4, and to provide for the sanctions and remedies laid down in Article 5. 2. Without prejudice to paragraph 1, Member States may not: (a) restrict the provision of protected services, or associated services, which originate in another Member State; or (b) restrict the free movement of conditional access devices; for reasons falling within the field coordinated by this Directive. Article 4 Infringing activities Member States shall prohibit on their territory all of the following activities: (a) the manufacture, import, distribution, sale, rental or possession for commercial purposes of illicit devices; (b) the installation, maintenance or replacement for commercial purposes of an illicit device; (c) the use of commercial communications to promote illicit devices. Article 5 Sanctions and remedies 1. The sanctions shall be effective, dissuasive and proportionate to the potential impact of the infringing activity. 2. Member States shall take the necessary measures to ensure that providers of protected services whose interests are affected by an infringing activity as specified in Article 4, carried out on their territory, have access to appropriate remedies, including bringing an action for damages and obtaining an injunction or other preventive measure, and where appropriate, applying for disposal outside commercial channels of illicit devices. Article 6 Implementation 1. Member States shall bring into force the laws, regulations and administrative provisions necessary to comply with this Directive by 28 May 2000. They shall notify them to the Commission forthwith. When Member States adopt such measures, they shall contain a reference to this Directive or shall be accompanied by such reference at the time of their official publication. The methods of making such reference shall be laid down by Member States. 2. Member States shall communicate to the Commission the text of the provisions of national law which they adopt in the field coordinated by this Directive. Article 7 Reports Not later than three years after the entry into force of this Directive, and every two years thereafter, the Commission shall present a report to the European Parliament, the Council and the Economic and Social Committee concerning the implementation of this Directive accompanied, where appropriate, by proposals, in particular as regards the definitions under Article 2, for adapting it in light of technical and economic developments and of the consultations carried out by the Commission. Article 8 Entry into force This Directive shall enter into force on the day of its publication in the Official Journal of the European Communities. Article 9 Addressees This Directive is addressed to the Member States. Done at Brussels, 20 November 1998. For the European Parliament The President J. M. GIL-ROBLES For the Council The President E. HOSTASCH (1) OJ C 314, 16. 10. 1997, p. 7 and OJ C 203, 30. 6. 1998, p. 12. (2) OJ C 129, 27. 4. 1998, p. 16. (3) Opinion of the European Parliament of 30 April 1998 (OJ C 152, 18. 5. 1998, p. 59), Council Common Position of 29 June 1998 (OJ C 262, 19. 8. 1998, p. 34) and Decision of the European Parliament of 8 October 1998 (OJ C 328, 26. 10. 1998). Council Decision of 9 November 1998. (4) OJ C 167, 2. 6. 1997, p. 31. (5) OJ L 298, 17. 10. 1989, p. 23. Directive as amended by Directive 97/36/EC of the European Parliament and of the Council (OJ L 202, 30. 7. 1997, p. 60). (6) OJ C 188, 22. 7. 1995, p. 1. (7) OJ L 204, 21. 7. 1998, p. 37. Directive as amended by Directive 98/48/EC (OJ L 217, 5. 8. 1998, p. 18).

Summary: Protecting electronic pay services against piracy Protecting electronic pay services against piracy SUMMARY OF: Legal protection of services based on, or consisting of, conditional access – Directive 98/84/EC SUMMARY WHAT DOES THIS DIRECTIVE DO? — The objective of this directive on the legal protection of services based on conditional access (i.e. access in return for a subscription) — It seeks to protect electronic pay services against piracy. — It prohibits all commercial activities involving the manufacture, distribution or marketing of smart cards (plastic cards with built-in microprocessors or microchips) and other devices which make it possible to bypass protected access to television, radio and Internet pay services. KEY POINTS Scope The directive covers all services supplied on the basis of conditional access, such as pay-television and pay-radio services, on-demand video and audio services, electronic publishing and a large range of on-line services that are available to the public on a subscription or pay-per-view basis. Illicit activities Each EU country must introduce laws to ban: — the production, import, sale, rental or possession for commercial profit of illegal equipment or software enabling the unauthorised access to a protected service; — installing, servicing or replacing illegal equipment for commercial profit; — advertising that promotes illegal equipment or software. Penalties and remedies Each EU country must ensure it enacts measures: — to introduce sanctions which are effective, dissuasive and proportional to the potential impact of the unlawful behaviour; — to ensure that service providers adversely affected by unlawful behaviour can go to court to seek damages and an injunction and, where appropriate, apply for the seizure of illegal devices. Principles relating to the internal market EU countries may not restrict the: — provision of protected services, or associated services, that originate in other EU countries; — free movement of conditional access devices, except those devices designated as illicit by the directive (i.e. any equipment or software designed or adapted to give access to a protected service in an intelligible form without the authorisation of the service provider). Council of Europe Convention In 2015, the Council of the European Union approved, on behalf of the EU, the Council of Europe Convention on the legal protection of services based on, or consisting of, conditional access, which entered into force in 2003. The signing by the EU of the Convention is likely to encourage other members of the Council of Europe to ratify it. This would extend the application of rules similar to those in Directive 98/84/EC beyond the EU’s borders, and thus result in a law on services based on conditional access which would be applicable throughout the European continent. BACKGROUND Legal Protection of conditional access services ACT Directive 98/84/EC of the European Parliament and of the Council of 20 November 1998 on the legal protection of services based on, or consisting of, conditional access (OJ L 320, 28.11.1998, pp. 54–57) RELATED ACTS Council Decision 2014/243/EU of 14 April 2014 on the signing, on behalf of the European Union, of the European Convention on the legal protection of services based on, or consisting of, conditional access (OJ L 128, 30 April 2014, p. 61) Council Decision (EU) 2015/1293 of 20 July 2015 on the conclusion, on behalf of the European Union, of the European Convention on the legal protection of services based on, or consisting of, conditional access (OJ L 199, 29.7.2015, pp. 3–5) Report from the Commission to the Council, the European Parliament, the European Economic and Social Committee and the Committee of the Regions – Second Report on the implementation of Directive 98/84/EC of the European Parliament and of the Council of 20 November 1998 on the legal protection of services based on, and consisting of, conditional access (COM(2008) 593 final of 30 September 2008) On the legal protection of electronic pay services – Report from the Commission to the Council, the European Parliament and the European Economic and Social Committee on the implementation of Directive 98/84/EC of the European Parliament and of the Council of 20 November 1998 on the legal protection of services based on, or consisting of, conditional access (COM(2003) 198 final of 24 April 2003) last update 26.10.2015


EUR-Lex - 32000D0604 - EN Avis juridique important | 32000D0604 2000/604/EC: Council Decision of 29 September 2000 on the composition and the statutes of the Economic Policy Committee Official Journal L 257 , 11/10/2000 P. 0028 - 0031 Council Decisionof 29 September 2000on the composition and the statutes of the Economic Policy Committee(2000/604/EC)THE COUNCIL OF THE EUROPEAN UNION,Having regard to the Treaty establishing the European Community and in particular Article 209 thereof,Having regard to the opinion of the Commission,Whereas:(1) The Economic Policy Committee (hereinafter "the Committee") was set up by Council Decision 74/122/EEC(1).(2) The Committee has exercised all the functions hitherto assigned to the Short-term Economic Policy Committee set up by Council Decision of 9 March 1960 on coordination of the conjunctural policies of the Member States(2), the Budgetary Policy Committee set up by Council Decision of 8 May 1964 on cooperation between the competent government departments of Member States in the field of budgetary policy(3), and the Medium-term Economic Policy Committee set up by Council Decision of 15 April 1964 setting up a Medium-term Economic Policy Committee(4).(3) The Committee is provided for in Article 272 of the Treaty.(4) The statutes of the Committee should reflect the new institutional environment created by entry into the third stage of economic and monetary union; it seems advisable to maintain the basic structure of the Committee while making the necessary adjustments to improve its functioning and to describe its tasks more precisely.(5) The task assigned to the Committee shall be without prejudice to the right of the Commission to formulate recommendations or deliver opinions on matters dealt with in the Treaty.(6) The introduction of the euro reinforces the need for a close coordination of economic policies and sustained convergence of the economic performances of the Member States; according to the resolution of the European Council of 13 December 1997 on economic policy coordination in stage 3 of economic and monetary union(5) enhanced economic policy coordination should include a closer monitoring of macroeconomic developments in Member States and of Member States structural policies in labour, product and services markets, as well as of cost and price trends, particularly in so far as they affect the chances of achieving sustained non-inflationary growth and job creation.(7) The broad economic policy guidelines and the multilateral surveillance procedure as provided for in Article 99 of the Treaty are at the centre of economic policy coordination; without prejudice to the tasks of the Economic and Financial Committee, the Committee should provide support for the formulation of the guidelines and contribute to the multilateral surveillance procedure in the areas mentioned in this Decision.(8) The European Council at its meeting in Cardiff on 16 June 1998 welcomed the decision of the Ecofin Council and the ministers meeting in that Council on 1 May 1998(6) to establish a light procedure, fully respecting the subsidiarity principle, for monitoring progress on economic reform.(9) The resolution of the European Council of 3 and 4 June 1999 launched a process of macroeconomic dialogue at Community level. This macroeconomic dialogue is aimed at improving the interaction between wage developments and macroeconomic policies. The European Council has concluded that the macroeconomic dialogue at technical level should take place in a working party set up in the framework of the Committee in collaboration with the Employment and Labour Market Committee, with the participation of representatives of both committees (including the European Central Bank), of the Commission and of the Macroeconomic Group of the Social Dialogue. The Committee should in particular organise the contribution of government representatives to the dialogue at this level.(10) The resolution of the European Council of 16 June 1997 on growth and employment(7) called for an enhanced coordination of economic policies to complement the procedure as envisaged in the new title on employment in the Treaty, and requested that the Employment Committee should work closely together with the Committee.(11) The Treaty provides for the establishment of an Economic and Financial Committee. The tasks of the Economic and Financial Committee are set out in Article 114(2) of the Treaty. The statutes of the Economic and Financial Committee have been adopted by Council Decision of 31 December 1998(8). The Committee should work in close cooperation with the Economic and Financial Committee when assisting the Council.(12) The Treaty calls for the establishment of an employment committee. Close cooperation with that committee is also required.(13) The description of the tasks of the Committee is to be without prejudice to any possible future secondary legislation on the multilateral surveillance procedure as provided for in Article 99(5) of the Treaty.(14) The Member States, the Commission and the European Central Bank should be adequately represented in the Committee. They should each nominate four members.(15) Members of the Committee should be appointed in their personal capacity and should be guided in performing their duties by the general interests of the Community.(16) The President of the Committee should be elected for a period of two years. As a rule, this term should not be renewable. It should be possible to extend the term if there is no other candidate for the Presidency.(17) The membership of the Committee of officials from the European Central Bank and national central banks is to be without prejudice to Article 108 of the Treaty,HAS DECIDED AS FOLLOWS:Article 1The statutes of the Economic Policy Committee provided for in Article 272 of the Treaty ("the Committee") are hereby adopted.The text of the statutes is set out in the Annex hereto.Article 2Decision 74/122/EEC is hereby repealed.Article 3This Decision shall take effect from the day following its publication.Done at Brussels, 29 September 2000.For the CouncilThe PresidentL. Fabius(1) OJ L 63, 5.3.1974, p. 21.(2) OJ 31, 9.5.1960, p. 764/60.(3) OJ 77, 21.5.1964, p. 1205/64.(4) OJ 64, 22.4.1964, p. 1031/64.(5) OJ C 35, 2.2.1998, p. 1.(6) OJ L 139, 11.5.1998, p. 28.(7) OJ C 236, 2.8.1997, p. 3.(8) OJ L 5, 9.1.1999, p. 71.ANNEXStatutes of the Economic Policy CommitteePART ITASKS OF THE COMMITTEEArticle 11. Without prejudice to Articles 114 and 207 of the Treaty, the Economic Policy Committee (hereinafter referred to as "the Committee"), shall contribute to the preparation of the work of the Council of coordinating the economic policies of the Member States and of the Community and provide advice to the Commission and the Council.2. The Committee shall contribute to the preparation of the work of the Council by providing economic analyses, opinions on methodologies and draft formulations for policy recommendations, particularly on structural policies for improving growth potential and employment in the Community. In this context, it shall focus in particular on:- the functioning of goods, capital, services and labour markets, including wage, productivity, employment and competitiveness developments,- the role and efficiency of the public sector and the long-term sustainability of public finances,- the economy-wide implications of specific policies, such as those relating to the environment, to research and development and to social cohesion.3. In the areas mentioned above, the Committee shall, without prejudice to Articles 114 and 207 of the Treaty, provide support for the work of the Council, in particular in the formulation of the broad economic policy guidelines, and shall contribute to the multilateral surveillance procedure referred to in Article 99(3) of the Treaty. In this context, the Committee shall conduct regular country reviews focused in particular on structural reforms in Member States.4. Without prejudice to Articles 130 and 207 of the Treaty, the Committee shall contribute to the work of the Council under the Employment Title of the Treaty.5. The Committee shall support the Economic and Financial Committee, in particular in keeping under review the short and medium-term macroeconomic developments in the Member States and the Community by providing analysis and opinions mainly on methodological questions relating to the interaction between structural and macroeconomic policies and on wage developments in the Member States and the Community.6. The Committee shall provide the framework within which the macroeconomic dialogue involving representatives of the Committee (including the European Central Bank), the Economic and Financial Committee, the Employment Committee, the Commission and social partners shall take place at technical level.7. The Committee shall be consulted by the Commission on the maximum rate of increase for non-compulsory expenditure of the general budget of the European Communities as provided for in Article 272 of the Treaty.Article 2The Committee shall deliver opinions at the request of the Council, the Commission or the Economic and Financial Committee or on its own initiative.Article 3In the fulfilment of its tasks the Committee shall work in close relation with the Economic and Financial Committee when reporting to the Council. In contributing to the preparation of the broad economic policy guidelines, the Committee will report to the Economic and Financial Committee. It shall coordinate its work with the Employment Committee and other committees and working groups preparing the work of the Council in the areas where these committees and working groups are competent.PART IICOMPOSITIONArticle 41. The Member States, the Commission and the European Central Bank shall each appoint four members of the Committee.2. The members of the Committee shall be selected from among senior officials possessing outstanding competence in the field of economic and structural policy formulation.Article 5Members of the Committee shall be guided, in the performance of their duties, by the general interests of the Community.PART IIIPRESIDENT AND SECRETARIATArticle 61. The Committee shall elect from among its members, by a majority of its members, a president and up to three vice-presidents for a period of two years. As a rule, the two years term shall not be renewable.2. The President shall delegate his/her voting right to another member of his/her delegation.Article 7In the event of being unable to fulfil his/her duties, the President shall be replaced by one of the Vice-Presidents of the Committee.Article 81. The Committee shall be assisted by a secretariat under the direction of a Secretary. The Secretary and the staff of the secretariat needed for carrying out the tasks of the secretariat shall be supplied by the Commission. The Secretary shall be appointed by the Commission after consultation of the Committee. The Secretary and his/her staff shall act on the instructions of the Committee when carrying out their responsibilities to the Committee.2. The expenses of the Committee shall be included in the estimates of the Commission.PART IVPROCEEDINGSArticle 9Opinions or reports shall be adopted by a majority of members if a vote is requested. Each member shall have one vote. However, when advice or an opinion is given on questions on which the Council may subsequently take a decision, members from central banks and the Commission may participate fully in the discussion but shall not participate in a vote. The Committee shall also report on minority or dissenting views expressed in the course of the discussion.Article 10As a rule only members may speak during the meetings of the Committee. In exceptional circumstances the President may agree to alternative arrangements.Article 11The Committee may entrust the study of specific questions to subcommittees or working parties. The presidency of such groups shall be assumed by a member of the Committee, appointed by the Committee.Article 12The Committee, the subcommittees or working parties may invite experts to assist them.Article 13The Committee shall be convened by the President on his/her own initiative, or at the request of the Council, the Commission or at least five members.Article 141. As a rule the President shall represent the Committee; in particular the President may be authorised by the Committee to report on discussions and deliver oral comments on opinions and reports prepared by the Committee.2. The President of the Committee shall have the responsibility of maintaining the Committee's relations with the European Parliament, which shall be kept informed of the Committee's work, as appropriate.Article 151. Unless decided otherwise, the proceedings of the Committee shall be confidential. The same rule shall apply to the proceedings of its subcommittees or working parties.2. Reports or opinions prepared by the Committee shall be publicly available after they have been transmitted to the addressee unless there are overriding reasons to keep them confidential.Article 16The Committee shall adopt its own procedural arrangements.

Summary: The EU’s Economic Policy Committee The EU’s Economic Policy Committee SUMMARY OF: Council Decision 2000/604/EC — the composition and the statutes of the Economic Policy Committee WHAT IS THE AIM OF THE DECISION? It confirms the tasks, the composition, the organisation and the operation of the Economic and Policy Committee of the European Union (EU), a committee originally created in 1974. This decision followed the EU’s move into the final stage of economic and monetary union (EMU) when exchange rates were irrevocably fixed and the single currency, the euro, was introduced on the foreign exchange markets and for electronic payments. It was subsequently amended in 2003 to take account of the 2004 enlargement of the EU. KEY POINTS The committee’s work The committee was set up to: contribute to the work of the Council (and more specifically the EU’s Economic and Financial Affairs ministers — Ecofin) on coordinating the EU’s and the EU countries’ economic policies and budgets; advise the European Commission; prepare some of the work of the Eurogroup. The committee: carries out economic analyses; presents opinions on methodologies; leads in the preparation of Council work on the European Semester, including the formulation of policy recommendations to EU countries based on Commission drafts; formulates policy recommendations, such as the broad economic policy guidelines that are designed to improve the EU’s job creation and growth potential; contributes to the multilateral surveillance of national economic policies by conducting regular reviews of EU countries’ structural reforms; provides policy advice regarding the part of the investment plan for Europe which aims to remove regulatory barriers to investment both nationally and at EU level. In particular, the committee focuses on: the operation of the EU’s goods, capital, services and labour markets, including developments in wages, productivity, employment and competitiveness; the role and efficiency of the public sector and the long-term sustainability of public finances; the economy-wide implications of specific policies, such as those relating to the environment, to research and development and to social cohesion. The committee supports the work of the Economic and Financial Committee. This involves, among other things, monitoring the short- and medium-term macroeconomic developments both at EU and at national levels. It provides analysis and opinions on to the interaction between structural and macroeconomic policies and on wage developments. It also serves as a forum for technical macroeconomic discussions with the European Central Bank (ECB), the Economic and Financial Committee, the Employment Committee, the Commission and social partners. Composition and operation There are two representatives per EU country, and two each from the Commission and the ECB. When the committee meets in its Eurogroup form, it comprises the representatives of the Commission, the ECB and those countries whose currency is the euro. A president is elected every 2 years and a secretariat supports the committee’s work. Meetings are confidential but reports and opinions are normally publicly available. Where committee opinions or reports are subject to a vote, they must be adopted by a majority of members. The committee must also report on minority or dissenting views expressed in the course of its discussions. Where reports concern issues on which the Council may subsequently take a decision, members from central banks and the Commission may not take part in the vote. The committee has set up several working groups which examine specific issues: ageing populations and sustainability, methodology to assess structural reforms, output gaps, and energy and climate change. FROM WHEN DOES THE DECISION APPLY? It has applied since 12 October 2000. BACKGROUND For more information, see: ‘About the EPC’ on the Europa website. MAIN DOCUMENT Council Decision 2000/604/EC of 29 September 2000 on the composition and the statutes of the Economic Policy Committee (OJ L 257, 11.10.2000, pp. 28–31) Successive amendments to Decision 2000/604/EC have been incorporated in the original text. This consolidated version is of documentary value only. last update 11.04.2017


EUR-Lex - 32003D0913(01) - EN Avis juridique important | 32003D0913(01) Council Decision of 22 July 2003 setting up an Advisory Committee on Safety and Health at Work (Text with EEA relevance) Official Journal C 218 , 13/09/2003 P. 0001 - 0004 Council Decisionof 22 July 2003setting up an Advisory Committee on Safety and Health at Work(2003/C 218/01)(Text with EEA relevance)THE COUNCIL OF THE EUROPEAN UNION,Having regard to the Treaty establishing the European Community and in particular Article 202 thereof,Having regard to the Commission's proposal, presented after consultation of the Advisory Committee for Safety, Hygiene and Health Protection at Work,Whereas:(1) Protection against occupational accidents and diseases is amongst the objectives of the Treaty.(2) The profound transformation in production methods in all sectors of the economy and the spread of dangerous techniques and materials have created new problems for the safety and health of workers at their place of work.(3) A standing body should be envisaged to assist the Commission in the preparation and implementation of activities in the fields of safety and health at work and to facilitate cooperation between national administrations, trade unions and employers' organisations.(4) A Mines Safety Commission was set up by decisions taken by the Representatives of the Governments of the Member States meeting within the Special Council of Ministers at the 36th and 42nd Council sessions of 6 September 1956 and 9 and 10 May 1957, the remit of which was established by the Decision of the Representatives of the Governments of the Member States meeting within the Special Council of Ministers of 9 July 1957 concerning the terms of reference and the rules of procedure of the Mines Safety Commission(1), and the responsibilities of which were extended by Council Decision 74/326/EEC of 27 June 1974(2).(5) Moreover, Council Decision 74/325/EEC of 27 June 1974 on the setting up of an Advisory Committee on Safety, Hygiene and Health Protection at Work(3) also set up a standing body for all economic activities, except for the extractive industries and the protection of the health of workers against the dangers arising from ionising radiation.(6) The radical changes which have taken place over the past few years in working life and in the European project, specifically as a result of incorporating a social protocol in the Treaty of Amsterdam, and the new prospects opened up by the current enlargement process require a critical and constructive re-examination of the consultation process and the bodies set up for this purpose in the Community.(7) In its Communication on a Community programme in the field of safety, hygiene and health protection at work (1996-2000), the Commission stressed the need to streamline the operation of the two advisory committees - the Advisory Committee for Safety, Hygiene and Health Protection at Work and the Safety and Health Commission for the Mining and Other Extractive Industries - by merging them, reducing the number of members and giving them a single secretariat.(8) The communication from the Commission on "Adapting to change in work and society: a new Community strategy on safety and health 2002-2006" also notes that effective implementation of Community law requires close cooperation between the Commission and the Member States' administrations and that this cooperation would be better and simpler if the two advisory committees were to be merged into a single Advisory Committee.(9) The structure of the Advisory Committee on Safety, Hygiene and Health Protection at Work should be retained with changes made to streamline its operation and with a clear statement of the horizontal nature of its competences to cover all public and private sectors of activity in accordance with the scope of Community legislation on health and safety at work. The knowledge and experience acquired by the Safety and Health Commission for the Mining and Other Extractive Industries should also be safeguarded by setting up standing working parties for specific sectors within this Advisory Committee.(10) This reform should be incorporated in a new decision setting up an Advisory Committee for Safety and Health at Work as a single advisory body, and repealing Decision 74/325/EEC.(11) The Decisions setting up the Mines Safety Commission, the Decision concerning the terms of reference and rules of procedure of the Mines Safety Commission and the Decision 74/326/EEC should also be repealed,HAS DECIDED AS FOLLOWS:Article 1An Advisory Committee for Safety and Health at Work (hereinafter called the "Committee") is hereby set up.Article 21. The Committee shall have the task of assisting the Commission in the preparation, implementation and evaluation of activities in the fields of safety and health at work.This task shall cover the public and the private sectors of the economy.2. Specifically, the Committee shall:(a) conduct, on the basis of the information available to it, exchanges of views and experience regarding existing or planned regulations;(b) help to devise a common approach to problems in the fields of safety and health at work and identify Community priorities as well as the measures necessary for implementing them;(c) draw the Commission's attention to areas in which there is an apparent need for new knowledge and for suitable training and research measures;(d) define, within the framework of Community action programmes:- the criteria and aims for preventing accidents at work and health hazards within the undertaking;- methods enabling undertakings and their employees to evaluate and to improve the level of protection;(e) contribute, alongside the European Agency for Safety and Health at Work, to keeping national administrations, trades unions and employers' organisations informed of Community measures in order to facilitate cooperation and to encourage any initiatives on their part to exchange experience and establish codes of practice;(f) give an opinion on plans for Community initiatives which affect safety and health at work;(g) give an opinion on the annual programme and the rotating four-year programme of the European Agency for Safety and Health at Work.3. In order to accomplish the above tasks, the Committee shall cooperate with the other Committees which are competent for safety and health at work, inter alia with the Senior Labour Inspectors Committee and the Scientific Committee for Occupational Exposure Limits to Chemical Agents, mainly by exchanging information.Article 31. The Committee shall consist of three full members for each Member State, there being one representative for each of the national governments, trade unions and employers' organisations.2. Two alternate members may be appointed for each full member.Without prejudice to Article 6(3), an alternate member shall attend Committee meetings only when the member for whom he deputises is unable to be present.3. Full and alternate members shall be appointed by the Council. When submitting the list of candidates to the Council, Member States shall endeavour to ensure that the composition of the Committee fairly reflects the various economic sectors concerned and the proportion of men and women in the working population.4. The list of the full and alternate members shall be published by the Council in the Official Journal of the European Union for information purposes.Article 41. The term of office of full and alternate members shall be three years. Their term shall be renewable.2. On expiry of their term of office, the full and alternate members shall remain in office until they are replaced or their terms are renewed.3. A member's term of office shall end before the expiry of the three-year period with his resignation or following a communication from the Member State concerned indicating that the term of office is terminated.For the remainder of the term of office, the member shall be replaced in accordance with the procedure laid down in Article 3.Article 51. Within the Committee, there shall be three interest groups, made up of representatives of national governments, trade unions and employers' organisations respectively.2. Each interest group shall select one of its members to be its spokesperson.3. Each interest group shall designate a coordinator who will take part in meetings of the Committee, the Bureau and the interest group.4. A Bureau shall be formed to organise the Committee's activities, made up of two representatives of the Commission and the spokespersons and coordinators designated by the interest groups.Article 61. The Committee shall be chaired by the Director-General in charge of social policy at the Commission or, where he/she is prevented from so doing and as an exception, by one of the Directorate-General's directors to be nominated by him/her. The Chair shall not vote.2. The Committee shall meet when convened by the Chair, either at the latter's initiative or at the request of at least one-third of its members.3. The Chair may, on his/her own initiative, invite up to two experts to participate in Committee meetings.Each interest group may be accompanied by up to two experts, provided that it so informs the Chair at least three days before the Committee meeting.4. The Committee may establish working parties to be chaired by a Committee member or an alternate member. Each working party shall be made up of four experts for each interest group.A standing working party made up of 5 experts for each interest group shall be set up within the Committee to deal on a regular basis with questions relating to the mining and extractive industries.The Chairs of these working parties shall submit the results of their proceedings in the form of a report at a meeting of the Committee.5. Representatives of any Commission department concerned shall participate in meetings of the Committee and the working parties. Secretarial services shall be provided by the Commission.6. The following may attend meetings of the Committee as observers:- the Director of the European Agency for Safety and Health at Work;- the Director of the European Foundation for the Improvement of Living and Working Conditions;- a representative for each interest group of the Member States of the European Economic Area.7. The Chair may, on the basis of the Bureau's reasoned opinion, authorise other observers to attend meetings of the Committee.Article 71. An opinion delivered by the Committee shall not be valid unless two-thirds of its members are present. Only members may vote.2. An opinion delivered by the Committee shall state the reasons on which it is based; it shall be delivered by an absolute majority of the votes validly cast. It shall be accompanied by a written statement of the views expressed by the minority, if the latter so requests.3. The Committee shall devise fast-track decision-making procedures to which the conditions of (1) and (2) shall apply mutatis mutandis.Article 8The Committee shall, having received an opinion from the Commission, adopt its rules of procedure which shall lay down the practical arrangements for its activities and, in particular, those for fast-track decision-making and cooperation with the other Committees which are competent for Safety and Health at Work, inter alia with the Senior Labour Inspectors Committee and the Scientific Committee for Occupational Exposure Limits to Chemical Agents. The rules of procedure shall be transmitted for information purposes to the European Parliament and Council; the latter shall also have the right of call-back.Article 9Without prejudice to Article 287 of the Treaty, Committee members shall be required not to disclose information to which they have gained access through Committee or working party proceedings, if the Commission informs them that the opinion requested or the question raised is of a confidential nature. In such cases, only Committee members and representatives of the Commission shall attend the meetings concerned.Article 10The Decisions setting up the Mines Safety Commission taken at the 36th and 42nd Council sessions of 6 September 1956 and 9 and 10 May 1957, the Decision of the Representatives of the Governments of the Member States meeting within the Special Council of Ministers of 9 July 1957 concerning the terms of reference and rules of procedure of the Mines Safety Commission and Council Decisions 74/325/EEC and 74/326/EEC are hereby repealed.Article 11This Decision shall enter into force on 1 January 2004.Done at Brussels, 22 July 2003.For the CouncilThe PresidentG. Alemanno(1) OJ 57, 31.8.1957, p. 487. Decision as last amended by the 1994 Act of Accession.(2) OJ L 185, 9.7.1974, p. 18. Decision as last amended by the 1994 Act of Accession.(3) OJ L 185, 9.7.1974, p. 15. Decision as last amended by the 1994 Act of Accession.

Summary: Advisory Committee on Safety and Health at Work (ACSH) Advisory Committee on Safety and Health at Work (ACSH) SUMMARY OF: Decision (2003/C 218/01) setting up an Advisory Committee on Safety and Health at Work WHAT IS THE AIM OF THE DECISION? It sets up the Advisory Committee on Safety and Health at Work, a tripartite consultative body whose remit is to assist the European Commission in the preparation and implementation of decisions taken in the field of safety and health at work and to facilitate cooperation between national administrations, trade unions and employers’ organisations. KEY POINTS The committee, set up to streamline the consultation process in the field of health and safety at work, covers all public and private sectors of the economy. Its main tasks consist in: giving opinions on European Union (EU) initiatives in the area of occupational safety and health (new legislation, EU programmes, etc.); contributing pro-actively to identify EU-level priorities and to establish relevant policy strategies; encouraging exchanges of views and experience (interface between national and EU level). The committee consists of 3 full members from each EU country: 1 government representative, 1 representative of the trade unions and 1 representative of employers’ organisations, appointed by the Council for a 3-year term. Three interest groups are established accordingly within the committee. Each interest group selects 1 of its members to be its spokesperson and designates a coordinator. The committee is chaired by the Director-General in charge of social policy at the Commission. It meets twice a year in a plenary. The Commission (the Directorate-General for Employment, Social Affairs and Inclusion) provides secretarial services for the committee. The modus operandi of the committee is regulated by its rules of procedure (RoP), which the committee adopted on 18 November 2004 on the basis of a favourable Commission opinion. The RoP also define the decision-making procedures to be followed for the adoption of any official position by the committee. Possible procedures are: the ordinary decision-making procedure, applied at plenary meetings. In this context, an opinion or decision can: either be unanimously adopted, when the spokespersons of the three interest groups express complete agreement on the issue under discussion, or be adopted by an absolute majority of votes, if no unanimous agreement is reached; the fast-track decision-making procedure, applied by written procedure (absolute majority required). Opinions adopted by the committee are not binding on the Commission. FROM WHEN DOES THE DECISION APPLY? It has applied since 1 January 2004. BACKGROUND For more information, see: ‘Health and safety at work - Advisory Committee on Health and Safety at Work’ on the European Commission's website. MAIN DOCUMENT Council Decision of 22 July 2003 setting up an Advisory Committee on Safety and Health at Work (2003/C 218/01)(OJ C 218, 13.9.2003, pp. 1–4) RELATED DOCUMENTS Commission Opinion on the Draft Rules of Procedure of the Advisory Committee on Safety and Health at Work (COM(2004) 756 final, 17.11.2004) last update 30.11.2016


8.7.1988 EN Official Journal of the European Communities L 178/5 COUNCIL DIRECTIVE of 24 June 1988 for the implementation of Article 67 of the Treaty (88/361/EEC) THE COUNCIL OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Economic Community, and in particular Articles 69 and 70(1) thereof, Having regard to the proposal from the Commission, submitted following consultation with the Monetary Committee (1), Having regard to the opinion of the European Parliament (2), Whereas Article 8 a of the Treaty stipulates that the internal market shall comprise an area without internal frontiers in which the free movement of capital is ensured, without prejudice to the other provisions of the Treaty; Whereas Member States should be able to take the requisite measures to regulate bank liquidity; whereas these measures should be restricted to this purpose; Whereas Member States should, if necessary, be able to take measures to restrict, temporarily and within the framework of appropriate Community procedures, short-term capital movements which, even where there is no appreciable divergence in economic fundamentals, might seriously disrupt the conduct of their monetary and exchange-rate policies; Whereas, in the interests of transparency, it is advisable to indicate the scope, in accordance with the arrangements laid down in this Directive, of the transitional measures adopted for the benefit of the Kingdom of Spain and the Portuguese Republic by the 1985 Act of Accession in the field of capital movements; Whereas the Kingdom of Spain and the Portuguese Republic may, under the terms of Articles 61 to 66 and 222 to 232 respectively of the 1985 Act of Accession, postpone the liberalization of certain capital movements in derogation from the obligations set out in the First Council Directive of 11 May 1960 for the implementation of Article 67 of the Treaty (3), as last amended by Directive 86/566/EEC (4); whereas Directive 86/566/EEC also provides for transitional arrangements to be applied for the benefit of those two Member States in respect of their obligations to liberalize capital movements; whereas it is appropriate for those two Member States to be able to postpone the application of the new liberalization obligations resulting from this Directive; Whereas the Hellenic Republic and Ireland are faced, albeit to differing degrees, with difficult balance-of-payments situations and high levels of external indebtedness; whereas the immediate and complete liberalization of capital movements by those two Member States would make it more difficult for them to continue to apply the measures they have taken to improve their external positions and to reinforce the capacity of their financial systems to adapt to the requirements of an integrated financial market in the Community; whereas it is appropriate, in accordance with Article 8c of the Treaty, to grant to those two Member States, in the light of their specific circumstances, further time in which to comply with the obligations arising from this Directive; Whereas, since the full liberalization of capital movements could in some Member States, and especially in border areas, contribute to difficulties in the market for secondary residences; whereas existing national legislation regulating these purchases should not be affected by the entry into effect of this Directive; Whereas advantage should be taken of the period adopted for bringing this Directive into effect in order to enable the Commission to submit proposals designed to eliminate or reduce risks of distortion, tax evasion and tax avoidance resulting from the diversity of national systems for taxation and to permit the Council to take a position on such proposals; Whereas, in accordance with Article 70 (1) of the Treaty, the Community shall endeavour to attain the highest possible degree of liberalization in respect of the movement of capital between its residents and those of third countries; Whereas large-scale short-term capital movements to or from third countries may seriously disturb the monetary or financial situation of Member States or cause serious stresses on the exchange markets; whereas such developments may prove harmful for the cohesion of the European Monetary System, for the smooth operation of the internal market and for the progressive achievement of economic and monetary union; whereas it is therefore appropriate to create the requisite conditions for concerted action by Member States should this prove necessary; Whereas this Directive replaces Council Directive 72/156/EEC of 21 March 1972 on regulating international capital flows and neutralizing their undesirable effects on domestic liquidity (5); whereas Directive 72/156/EEC should accordingly be repealed, HAS ADOPTED THIS DIRECTIVE: Article 1 1. Without prejudice to the following provisions, Member States shall abolish restrictions on movements of capital taking place between persons resident in Member States. To facilitate application of this Directive, capital movements shall be classified in accordance with the Nomenclature in Annex I. 2. Transfers in respect of capital movements shall be made on the same exchange rate conditions as those governing payments relating to current transactions. Article 2 Member States shall notify the Committee of Governors of the Central Banks, the Monetary Committee and the Commission, by the date of their entry into force at the latest, of measures to regulate bank liquidity which have a specific impact on capital transactions carried out by credit institutions with non-residents. Such measures shall be confined to what is necessary for the purposes of domestic monetary regulation. The Monetary Committee and the Committee of Governors of the Central Banks shall provide the Commission with opinions on this subject. Article 3 1. Where short-term capital movements of exceptional magnitude impose severe strains on foreign-exchange markets and lead to serious disturbances in the conduct of a Member State's monetary and exchange rate policies, being reflected in particular in substantial variations in domestic liquidity, the Commission may, after consulting the Monetary Committee and the Committee of Governors of the Central Banks, authorize that Member State to take, in respect of the capital movements listed in Annex II, protective measures the conditions and details of which the Commission shall determine. 2. The Member State concerned may itself take the protective measures referred to above, on grounds of urgency, should these measures be necessary. The Commission and the other Member States shall be informed of such measures by the date of their entry into force at the latest. The Commission, after consulting the Monetary Committee and the Committee of Governors of the Central Banks, shall decide whether the Member State concerned may continue to apply these measures or whether it should amend or abolish them. 3. The decisions taken by the Commission under paragraphs 1 and 2 may be revoked or amended by the Council acting by a qualified majority. 4. The period of application of protective measures taken pursuant to this Article shall not exceed six months. 5. Before 31 December 1992, the Council shall examine, on the basis of a report from the Commission, after delivery of an opinion by the Monetary Committee and the Committee of Governors of the Central Banks, whether the provisions of this Article remain appropriate, as regards their principle and details, to the requirements which they were intended to satisfy. Article 4 This Directive shall be without prejudice to the right of Member States to take all requisite measures to prevent infringements of their laws and regulations, inter alia in the field of taxation and prudential supervision of financial institutions, or to lay down procedures for the declaration of capital movements for purposes of administrative or statistical information. Application of those measures and procedures may not have the effect of impeding capital movements carried out in accordance with Community law. Article 5 For the Kingdom of Spain and the Portuguese Republic, the scope, in accordance with the Nomenclature of capital movements contained in Annex I, of the provisions of the 1985 Act of Accession in the field of capital movements shall be as indicated in Annex III. Article 6 1. Member States shall take the measures necessary to comply with this Directive no later than 1 July 1990. They shall forthwith inform the Commission thereof. They shall also make known, by the date of their entry into force at the latest, any new measure or any amendment made to the provisions governing the capital movements listed in Annex I. 2. The Kingdom of Spain and the Portuguese Republic, without prejudice for these two Member States to Articles 61 to 66 and 222 to 232 of the 1985 Act of Accession, and the Hellenic Republic and Ireland may temporarily continue to apply restrictions to the capital movements listed in Annex IV, subject to the conditions and time limits laid down in that Annex. If, before expiry of the time limit set for the liberalization of the capital movements referred to in Lists III and IV of Annex IV, the Portuguese Republic or the Hellenic Republic considers that it is unable to proceed with liberalization, in particular because of difficulties as regards its balance of payments or because the national financial system is insufficiently adapted, the Commission, at the request of one or other of these Member States, shall in collaboration with the Monetary Committee, review the economic and financial situation of the Member State concerned. On the basis of the outcome of this review, the Commission shall propose to the Council an extension of the time limit set for liberalization of all or part of the capital movements referred to. This extension may not exceed three years. The Council shall act in accordance with the procedure laid down in Article 69 of the Treaty. 3. The Kingdom of Belgium and the Grand Duchy of Luxembourg may temporarily continue to operate the dual exchange market under the conditions and for the periods laid down in Annex V. 4. Existing national legislation regulating purchases of secondary residences may be upheld until the Council adopts further provisions in this area in accordance with Article 69 of the Treaty. This provision does not affect the applicability of other provisions of Community law. 5. The Commission shall submit to the Council, by 31 December 1988, proposals aimed at eliminating or reducing risks of distortion, tax evasion and tax avoidance linked to the diversity of national systems for the taxation of savings and for controlling the application of these systems. The Council shall take a position on these Commission proposals by 30 June 1989. Any tax provisions of a Community nature shall, in accordance with the Treaty, be adopted unanimously. Article 7 1. In their treatment of transfers in respect of movements of capital to or from third countries, the Member States shall endeavour to attain the same degree of liberalization as that which applies to operations with residents of other Member States, subject to the other provisions of this Directive. The provisions of the preceding subparagraph shall not prejudice the application to third countries of domestic rules or Community law, particularly any reciprocal conditions, concerning operations involving establishment, the provisions of financial services and the admission of securities to capital markets. 2. Where large-scale short-term capital movements to or from third countries seriously disturb the domestic or external monetary or financial situation of the Member States, or of a number of them, or cause serious strains in exchange relations within the Community or between the Community and third countries, Member States shall consult with one another on any measure to be taken to counteract such difficulties. This consultation shall take place within the Committee of Governors of the Central Banks and the Monetary Committee on the initiative of the Commission or of any Member State. Article 8 At least once a year the Monetary Committee shall examine the situation regarding free movement of capital as it results from the application of this Directive. The examination shall cover measures concerning the domestic regulation of credit and financial and monetary markets which could have a specific impact on international capital movements and on all other aspects of this Directive. The Committee shall report to the Commission on the outcome of this examination. Article 9 The First Directive of 11 May 1960 and Directive 72/156/EEC shall be repealed with effect from 1 July 1990. Article 10 This Directive is addressed to the Member States. Done at Luxembourg, 24 June 1988. For the Council The President M. BANGEMANN (1) OJ No C 26, 1. 2. 1988, p. 1. (2) Opinion delivered on 17 June 1988 (not yet published in the Official Journal). (3) OJ No 43, 12. 7. 1960, p. 921/60. (4) OJ No L 332, 26. 11. 1986, p. 22. (5) OJ No L 91, 18. 4. 1972, p. 13. ANNEX I NOMENCLATURE OF THE CAPITAL MOVEMENTS REFERRED TO IN ARTICLE 1 OF THE DIRECTIVE In this Nomenclature, capital movements are classified according to the economic nature of the assets and liabilities they concern, denominated either in national currency or in foreign exchange. The capital movements listed in this Nomenclature are taken to cover: — all the operations necessary for the purposes of capital movements: conclusion and performance of the transaction and related transfers. The transaction is generally between residents of different Member States although some capital movements are carried out by a single person for his own account (e.g. transfers of assets belonging to emigrants), — operations carried out by any natural or legal person (1), including operations in respect of the assets or liabilities of Member States or of other public administrations and agencies, subject to the provisions of Article 68 (3) of the Treaty, — access for the economic operator to all the financial techniques available on the market approached for the purpose of carrying out the operation in question. For example, the concept of acquisition of securities and other financial instruments covers not only spot transactions but also all the dealing techniques available: forward transactions, transactions carrying an option or warrant, swaps against other assets, etc. Similarly, the concept of operations in current and deposit accounts with financial institutions, includes not only the opening and placing of funds on accounts but also forward foreign exchange transactions, irrespective of whether these are intended to cover an exchange risk or to take an open foreign exchange position, — operations to liquidate or assign assets built up, repatriation of the proceeds of liquidation thereof (1) or immediate use of such proceeds within the limits of Community obligations, — operations to repay credits or loans. This Nomenclature is not an exhaustive list for the notion of capital movements — whence a heading XIII — F. ‘Other capital movements — Miscellaneous’. It should not therefore be interpreted as restricting the scope of the principle of full liberalization of capital movements as referred to in Article 1 of the Directive. I — DIRECT INVESTMENTS (1) 1. Establishment and extension of branches or new undertakings belonging solely to the person providing the capital, and the acquisition in full of existing undertakings. 2. Participation in new or existing undertaking with a view to establishing or maintaining lasting economic links. 3. Long-term loans with a view to establishing or maintaining lasting economic links. 4. Reinvestment of profits with a view to maintaining lasting economic links. A — Direct investments on national territory by non-residents (1) B — Direct investments abroad by residents (1) II — INVESTMENTS IN REAL ESTATE (not included under I) (1) A — Investments in real estate on national territory by non-residents B — Investments in real estate abroad by residents III — OPERATIONS IN SECURITIES NORMALLY DEALT IN ON THE CAPITAL MARKET (not included under I, IV and V) (a) Shares and other securities of a participating nature (1). (b) Bonds (1). A — Transactions in securities on the capital market 1. Acquisition by non-residents of domestic securities dealt in on a stock exchange (2). 2. Acquisition by residents of foreign securities dealt in on a stock exchange. 3. Acquisition by non-residents of domestic securities not dealt in on a stock exchange (2). 4. Aquisition by residents of foreign securities not dealt in on a stock exchange. B — Admission of securities to the capital market (2) (i) Introduction on a stock exchange (2). (ii) Issue and placing on a capital market (*). 1. Admission of domestic securities to a foreign capital market. 2. Administration of foreign securities to the domestic capital market. IV — OPERATIONS IN UNITS OF COLLECTIVE INVESTMENT UNDERTAKINGS (2) (a) Units of undertakings for collective investment in securities normally dealt in on the capital market (shares, other equities and bonds). (b) Units of undertakings for collective investment in securities or instruments normally dealt in on the money market. (c) Units of undertakings for collective investment in other assets. A — Transactions in units of collective investment undertakings 1. Acquisition by non-residents of units of national undertakings dealt in on a stock exchange. 2. Acquisition by residents of units of foreign undertakings dealt in on a stock exchange. 3. Acquisition by non-residents of units of national undertakings not dealt in on a stock exchange. 4. Acquisition by residents of units of foreign undertakings not dealt in on a stock exchange. B — Administration of units of collective investment undertakings to the capital market (i) Introduction on a stock exchange. (ii) Issue and placing on a capital market. 1. Admission of units of national collective investment undertakings to a foreign capital market. 2. Admission of units of foreign collective investment undertakings to the domestic capital market. V — OPERATIONS IN SECURITIES AND OTHER INSTRUMENTS NORMALLY DEALT IN ON THE MONEY MARKET (2) A — Transactions in securities and other instruments on the money market 1. Acquisition by non-residents of domestic money market securities and instruments. 2. Acquisition by residents of foreign money market securities and instruments. B — Admission of securities and other instruments to the money market (i) Introduction on a recognized money market (*). (ii) Issue and placing on a recognized money market. 1. Admission of domestic securities and instruments to a foreign money market. 2. Admission of foreign securities and instruments to the domestic money market. VI — OPERATIONS IN CURRENT AND DEPOSIT ACCOUNTS WITH FINANCIAL INSTITUTIONS (3) A — Operations carried out by non-residents with domestic financial institutions B — Operations carried out by residents with foreign financial institutions VII — CREDITS RELATED TO COMMERCIAL TRANSACTIONS OR TO THE PROVISION OF SERVICES IN WHICH A RESIDENT IS PARTICIPATING (3) 1. Short-term (less than one year). 2. Medium-term (from one to five years). 3. Long-term (five years or more). A — Credits granted by non-residents to residents B — Credits granted by residents to non-residents VIII — FINANCIAL LOANS AND CREDITS (not included under I, VII and XI) (3) 1. Short-term (less than one year). 2. Medium-term (from one to five years). 3. Long-term (five years or more). A — Loans and credits granted by non-residents to residents B — Loans and credits granted by residents to non-residents IX — SURETIES, OTHER GUARANTEES AND RIGHTS OF PLEDGE A — Granted by non-residents to residents B — Granted by residents to non-residents X — TRANSFERS IN PERFORMANCE OF INSURANCE CONTRACTS A — Premiums and payments in respect of life assurance 1. Contracts concluded between domestic life assurance companies and non-residents. 2. Contracts concluded between foreign life assurance companies and residents. B — Premiums and payments in respect of credit insurance 1. Contracts concluded between domestic credit insurance companies and non-residents. 2. Contracts concluded between foreign credit insurance companies and residents. C — Other transfers of capital in respect of insurance contracts XI — PERSONAL CAPITAL MOVEMENTS A — Loans B — Gifts and endowments C — Dowries D — Inheritances and legacies E — Settlement of debts by immigrants in their previous country of residence F — Transfers of assets constituted by residents, in the event of emigration, at the time of their installation or during their period of stay abroad G — Transfers, during their period of stay, of immigrants' savings to their previous country of residence XII — PHYSICAL IMPORT AND EXPORT OF FINANCIAL ASSETS A — Securities B — Means of payment of every kind XIII — OTHER CAPITAL MOVEMENTS A — Death duties B — Damages (where these can be considered as capital) C — Refunds in the case of cancellation of contracts and refunds of uncalled-for payments (where these can be considered as capital) D — Authors' royalties: patents, designs, trade marks and inventions (assignments and transfers arising out of such assignments) E — Transfers of the monies required for the provision of services (not included under VI) F — Miscellaneous EXPLANATORY NOTES For the purposes of this Nomenclature and the Directive only, the following expressions have the meanings assigned to them respectively: Direct investments Investments of all kinds by natural persons or commercial, industrial or financial undertakings, and which serve to establish or to maintain lasting and direct links between the person providing the capital and the entrepreneur to whom or the undertaking to which the capital is made available in order to carry on an economic activity. This concept must therefore be understood in its widest sense. The undertakings mentioned under I-1 of the Nomenclature include legally independent undertakings (wholly-owned subsidiaries) and branches. As regards those undertakings mentioned under I-2 of the Nomenclature which have the status of companies limited by shares, there is participation in the nature of direct investment where the block of shares held by a natural person of another undertaking or any other holder enables the shareholder, either pursuant to the provisions of national laws relating to companies limited by shares or otherwise, to participate effectively in the management of the company or in its control. Long-term loans of a participating nature, mentioned under I-3 of the Nomenclature, means loans for a period of more than five years which are made for the purpose of establishing or maintaining lasting economic links. The main examples which may be cited are loans granted by a company to its subsidiaries or to companies in which it has a share and loans linked with a profit-sharing arrangement. Loans granted by financial institutions with a view to establishing or maintaining lasting economic links are also included under this heading. Investments in real estate Purchases of buildings and land and the construction of buildings by private persons for gain or personal use. This category also includes rights of usufruct, easements and building rights. Introduction on a stock exchange or on a recognized money market Access — in accordance with a specified procedure — for securities and other negotiable instruments to dealings, whether controlled officially or unofficially, on an officially recognized stock exchange or in an officially recognized segment of the money market. Securities dealt in on a stock exchange (quoted or unquoted) Securities the dealings in which are controlled by regulations, the prices for which are regularly published, either by official stock exchanges (quoted securities) or by other bodies attached to a stock exchange — e.g. committees of banks (unquoted securities). Issue of securities and other negotiable instruments Sale by way of an offer to the public. Placing of securities and other negotiable instruments The direct sale of securities by the issuer of by the consortium which the issuer has instructed to sell them, with no offer being made to the public. Domestic or foreign securities and other instruments Securities according to the country in which the issuer has his principal place of business. Acquisition by residents of domestic securities and other instruments issued on a foreign market ranks as the acquisition of foreign securities. Shares and other securities of a participating nature Including rights to subscribe to new issues of shares. Bonds Negotiable securities with a maturity of two years or more from issue for which the interest rate and the terms for the repayment of the principal and the payment of interest are determined at the time of issue. Collective investment undertakings Untertakings: — the object of which is the collective investment in transferable securities or other assets of the capital they raise and which operate on the principle of risk-spreading, and — the units of which are, at the request of holders, under the legal, contractual or statutory conditions governing them, repurchased or redeemed, directly or indirectly, out of those undertakings' assets. Action taken by a collective investment undertaking to ensure that the stock exchange value of its units does not significantly vary from their net asset value shall be regarded as equivalent to such repurchase or redemption. Such undertakings may be constituted according to law either under the law of contract (as common funds managed by management companies) or trust law (as unit trusts) or under statute (as investment companies). For the purposes of the Directive, ‘common funds’ shall also include unit trusts. Securities and other instruments normally dealt in on the money market Treasury bills and other negotiable bills, certificates of deposit, bankers' acceptances, commercial paper and other like instruments. Credits related to commercial transactions or to the provision of services Contractual trade credits (advances or payments by instalment in respect of work in progress or on order and extended payment terms, whether or not involving subscription to a commercial bill) and their financing by credits provided by credit institutions. This category also includes factoring operations. Financial loans and credits Financing of every kind granted by financial institutions, including financing related to commercial transactions or to the provision of services in which no resident is participating. This category also includes mortgage loans, consumer credit and financial leasing, as well as back-up facilities and other note-issuance facilities. Residents or non-residents Natural and legal persons according to the definitions laid down in the exchange control regulations in force in each Member State. Proceeds of liquidation (of investments, securities, etc.) Proceeds of sale including any capital appreciation, amount of repayments, proceeds of execution of judgements, etc. Natural or legal persons As defined by the national rules. Financial institutions Banks, savings banks and institutions specializing in the provision of short-term, medium-term and long-term credit, and insurance companies, building societies, investment companies and other institutions of like character. Credit institutions Banks, savings banks and institutions specializing in the provision of short-term, medium-term and long-term credit. (1) See Explanatory Notes below. (2) See Explanatory Notes below. (3) See Explanatory Notes below. ANNEX II LIST OF OPERATIONS REFERRED TO IN ARTICLE 3 OF THE DIRECTIVE Nature of operation Heading Operations in securities and other instruments normally dealt in on the money market V Operations in current and deposit accounts with financial institutions VI Operations in units of collective investment undertakings IV-A and B (c) — undertakings for investment in securities or instruments normally dealt in on the money market Financial loans and credits VIII-A and B-l — short-term Personal capital movements XI-A — loans Physical import and export of financial assets XII — securities normally dealt in on the money market — means of payment Other capital movements: Miscellaneous XIII-F — short-term operations similar to those listed above The restrictions which Member States may apply to the capital movements listed above must be defined and applied in such a way as to cause the least possible hindrance to the free movement of persons, goods and services. ANNEX III REFERRED TO IN ARTICLE 5 OF THE DIRECTIVE Scope of the provisions of the 1985 Act of Accession relating to capital movements, in accordance with the Nomenclature of capital movements set out in Annex I to the Directive Articles of the Art of Accession (dates of expiry of transitional provisions) Nature of operation Heading (a) Provisions concerning the Kingdom of Spain Article 62 (31.12.1990) Direct investments abroad by residents I-B Article 63 (31.12.1990) Investments in real estate abroad by residents II-B Article 64 (31.12.1988) Operations in securities normally dealt in on the capital market — Acquisition by residents of foreign securities dealt in on a stock exchange III-A-2 — excluding bonds issued on a foreign market and denominated in national currency Operations in units of collective investment undertakings — Acquisition by residents of units of collective investment undertakings dealt in on a stock exchange IV-A-2 — excluding units of undertakings taking the form of common funds (b) Provisions concerning the Portuguese Republic Article 222 (31.12.1989) Direct investments on national territory by non-residents I-A Article 224 (31.12.1992) Direct investments abroad by residents I-B Articles 225 and 226 (31.12.1990) Investments in real estate on national territory by non-residents II-A Article 227 (31.12.1992) Investments in real estate abroad by residents II-B Article 228 (31.12.1990) Personal capital movements (i) for the purpose of applying the higher amounts specified in Article 228 (2): — Dowries XI-C — Inheritances and legacies XI-D — Transfers of assets built up by residents in case of emigration at the time of their installation or during their period of stay abroad XI-F (ii) for the purpose of applying the lower amounts specified in Article 228 (2): — Gifts and endowments XI-B — Settlement of debts by immigrants in their previous country of residence XI-E — Transfers of immigrants' savings to their previous country of residence during their period of stay XI-G Article 229 (31.12.1990) Operations in securities normally dealt in on the capital market — Acquisition by residents of foreign securities dealt in on a stock exchange III-A-2 — excluding bonds issued on a foreign market and denominated in national currency Operations in units of collective investment undertakings — Acquisition by residents of units of foreign collective investment undertakings dealt in on a stock exchange IV-A-2 — excluding units of undertakings taking the form of common funds ANNEX IV REFERRED TO IN ARTICLE 6 (2) OF THE DIRECTIVE I. The Portuguese Republic may continue to apply or reintroduce, until 31 December 1990 restrictions existing on the date of notification of the Directive on capital movements given in List I below: LIST I Nature of operation Heading Operations in units of collective investment undertakings — acquisition by residents of units of foreign collective investment undertakings dealt in on a stock exchange IV-A-2 (a) — undertakings subject to Directive 85/611/EEC (1) and taking the form of common funds — Acquisition by residents of units of foreign collective investment undertakings not dealt in on a stock exchange IV-A-4 (a) — undertakings subject to Directive 85/611/EEC (1) II. The Kingdom of Spain and the Portuguese Republic may continue to apply or reintroduce, until 31 December 1990 and 31 December 1992 respectively, restrictions existing on the date of notification of the Directive on capital movements given in List II below: LIST II Nature of operation Heading Operations in securities normally dealt in on the capital market — Acquisition by residents of foreign securities dealt in on a stock exchange III-A-2 (b) — bonds issued on a foreign market and denominated in national currency — Acquisition by residents (non-residents) of foreign (domestic) securities not dealt in on a stock exchange III-A-3 and 4 — Admission of securities to the capital market III-B-1 and 2 — where they are dealt in on or in the process of introduction to a stock exchange in a Member State Operations in units of collective investment undertakings — Acquisition by residents of units of foreign collective investment undertakings dealt in on a stock exchange IV-A-2 — undertakings not subject to Directive 85/611/EEC (2) and taking the form of common funds — Acquisition by residents (non-residents) of units of foreign (domestic) collective investment undertakings not dealt in on a stock exchange IV-A-3 and 4 — undertakings not subject to Directive 85/611/EEC (2) and the sole object of which is the acquisition of assets that have been liberalized — Admission to the capital market of units of collective investment of undertakings IV-B-1 and 2 (a) — undertakings subject to Directive 85/611/EEC (2) — Credits related to commercial transactions or to the provision of services in which a resident is participating VII-A and B-3 — Long-term credits III. The Hellenic Republic, the Kingdom of Spain, Ireland and the Portuguese Republic may, until 31 December 1992, continue to apply or reintroduce restrictions existing at the date of notification of the Directive on capital movements given in List III below: LIST III Nature of operation Heading Operations in securities dealt in on the capital market — Admission of securities to the capital market III-B-1 and 2 — where they are not dealt in on or in the process of introduction to a stock exchange in a Member State Operations in units of collective investment undertakings — Admission to the capital market of units of collective investment undertakings IV-B-1 and 2 — undertakings not subject to Directive 85/611/EEC (3) and the sole object of which is the acquisition of assets that have been liberalized Financial loans and credits VIII-A, B-2 and 3 — medium-term and long-term IV. The Hellenic Republic, the Kingdom of Spain, Ireland and the Portuguese Republic may, until 31 December 1992, defer liberalization of the capital movements given in List IV below: LIST IV Nature of operation Heading Operations in securities and other instruments normally dealt in on the money market V Operations in current and deposit accounts with financial institutions VI Operations in units of collective investment undertakings IV-A and B (c) — undertakings for investment in securities or instruments normally dealt in on the money market Financial loans and credits VIII-A and B-1 — short term Personal capital movements XI-A — loans Physical import and export of financial assets XII — securities normally dealt in on the money market — means of payment Other capital movements: Miscellaneous XIII-F (1) Council Directive 85/611/EEC on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (UCITS) (OJ No L 375, 31. 12. 1985, p. 3). (2) See footnote to List I. (3) See footnote to List I. ANNEX V Since the dual exchange market system, as operated by the Kingdom of Belgium and the Grand Duchy of Luxembourg, has not had the effect of restricting capital movements but nevertheless constitutes an anomaly in the EMS and should therefore be brought to an end in the interests of effective implementation of the Directive and with a view to strengthening the European Monetary System, these two Member States undertake to abolish it by 31 December 1992. They also undertake to administer the system, until such time as it is abolished, on the basis of procedures which will still ensure the de facto free movement of capital on such conditions that the exchange rates ruling on the two markets show no appreciable and lasting differences.

Summary: Free movement of capital in the EU Free movement of capital in the EU SUMMARY OF: Council Directive 88/361/EEC — the capital liberalisation directive WHAT IS THE AIM OF THE DIRECTIVE? It was designed to give the European Union (EU) single market its full financial dimension. Its purpose was to progressively abolish all restrictions on the free movement of capital between EU countries, implementing Article 67 of the Treaty establishing the European Communities (Article 67 was subsequently repealed). The rules of the directive became obsolete following the entry into force of the new Article 63 of the Treaty on the Functioning of the European Union which ensures the free movement of capital between EU countries as well as between EU countries and non-EU countries. However, as indicated in the case-law of the Court of Justice of the European Union, the nomenclature of capital movements included in its Annex I is still used for the purposes of defining the notion of capital movements. KEY POINTS The directive enshrines the principle of full liberalisation of capital movements* between EU countries with effect from 1 July 1990. Transactions representing capital movements are listed in its Annex I. Transitional arrangements were offered for Spain, Greece, Ireland and Portugal, and Portugal and Greece were given the possibility of a further extension of a maximum of 3 years. The directive seeks to abolish the general arrangements for restrictions on movements of capital between persons resident in EU countries. A ‘safeguard clause’ was introduced. Capital movements can impose a very severe strain on foreign-exchange markets, which leads to serious disturbances in the conduct of a country’ s monetary and exchange rate policies. In this case, the European Commission, after consulting the Monetary Committee and the Committee of Governors of the Central Banks, can authorise that country to take protective measures. The protective measures related to the capital movements listed in Annex II of the directive, and must not exceed 6 months. With effect as of 1 July 1990, the directive repealed: the first directive for the implementation of Article 67 of the Treaty; Council Directive 72/156/EEC on regulating international capital flows and neutralising their undesirable effects on domestic liquidity*. FROM WHEN DOES THE DIRECTIVE APPLY? It applied between 7 July 1988 and 31 December 1999. EU countries had to incorporate it into national law by 1 July 1990. The directive is now replaced by the new Treaty rules on the free movement of capital but is still used for the purposes of defining the notion of capital movements. BACKGROUND For more information, see: ‘Free movement of capital’ on the European Commission's website. * KEY TERMS Capital movements: capital transfers between countries carried out by a person, organisation or business. They include direct investments, investments in real estate, operations in securities and in current and deposit accounts, as well as financial loans and credits. Domestic liquidity: The amount of cash or cash-equivalents (i.e. assets that can be quickly converted into cash) in circulation within a country’s economy. MAIN DOCUMENT Council Directive 88/361/EEC of 24 June 1988 for the implementation of Article 67 of the Treaty (OJ L 178, 8.7.1988, pp. 5-18) last update 16.11.2016