MEP Alfred Sant told the European Parliament that it has become obvious that the European Central Bank has accumulated substantial political power, even if it restricts itself to technocratic discourse.

Sant said that one could claim that this power exceeds the mandate given to it under the existing treaties.

“That power will be widening as a result of the responsibilities entrusted to the Bank under the provisions of the banking union. Nor do the Bank’s leaders have to deal with a countervailing power having the same strength as the U.S. Treasury in the dollar monetary system.”

Sant said that the quality of the ECB’s decision making is not the issue. “But it is a question of asking whether a power vacuum has been allowed to develop in euro monetary decision making; whether this has been occupied by the European Investment Bank; whether this is a good idea; and whether we should seek to balance better the political power secured by the European Central Bank, in the interests of democratic accountability.”

The Maltese MEP said that under Mario Draghi, the Bank’s current President, and also his predecessor, the Bank took decisions that provided leadership to the eurosystem. “Some were controversial — still are. But they needed to be taken. I am one of those who agree with the decisions of the past few years.”

Alfred Sant said that face to face with the facts, it’s difficult not to conclude that the European Central Bank has become the most successful institution of the euro system. “It certainly has been the most prepared to launch initiatives meant to counter economic stagnation in Europe.”

“These covered a truly pan-European perspective and not just a national one. Which made them harder to decide; more difficult to get agreement about; and even more difficult to implement and assess,” concluded Sant

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