Legislation governing the Bank of Finland was revised in 1998, 1999 and 2009. The Act on the Bank of Finland (719/1997) that entered into force on 1 January 1998 did not meet all the requirements for Stage Three of Economic and Monetary Union (EMU), and therefore it was amended by a new Act on the Bank of Finland (214/1998), which was passed by the Parliament on 20 March 1998 and entered into force on 27 March 1998. The Act on the Repeal of the Currency Act and the Coins Act were also passed in this context. The provisions of the new Act concerning the independence of the Bank of Finland entered into force on 1 May 1998. Provisions on the Bank of Finland´s membership of the European System of Central Banks (ESCB) and the currency laws entered into force when Finland joined the euro area on 1 January 1999.
The provisions of the Act state that the Bank of Finland is Finland's central bank and acts as part of the European System of Central Banks in accordance with the guidelines and instructions laid down by the European Central Bank. The Bank may not seek or take instructions from any bodies other than the European Central Bank in performing tasks of the European System of Central Banks. The primary objective of the Bank is maintenance of price stability, and it also supports the achievement of other economic policy objectives, without prejudice to the primary objective. The Bank also contributes to the execution of monetary policy as defined by the Governing Council of the European Central Bank. Other tasks include maintenance of the currency supply and issue of bank notes, holding and management of foreign exchange reserves, and ensuring the reliability and efficiency of the payment system and the overall financial system. Furthermore, the Bank is responsible for the compilation and publication of statistics required for carrying out its tasks.
The Bank of Finland is governed by the Parliamentary Supervisory Council and the Board. The Board is responsible for the administration of the Bank, and the Parliamentary Supervisory Council for supervising the administration and activities of the Bank and for other statutory tasks.
With the introduction of the euro, the Bank's monetary powers were transferred to Community level and provisions governing the single currency are incorporated in the EU Council regulation on the introduction of the euro, which entered into force on 1 January 1999. Consequently, the Finnish Currency Act was repealed, and only certain provisions mentioned in the transitional provisions are applicable as long as markka-denominated notes and coins remain legal tender. The new Coins Act contains national provisions on coins that supplement the EU provisions on coins.