DG ECFIN's Accounting and Risk Management function is responsible for the accounting, financial reporting and risk management for nearly 40 financial instruments and mandates.
The most important activities for which accounting and risk-management functions are performed are the off-budget activities, namely the European Coal and Steel Community in liquidation (ECSC i.l.), Euratom loans and macro-financial assistance loans to third countries.
These instruments and mandates have an aggregate volume of about €6 billion.
There are two main areas of activity:
DG ECFIN is responsible for keeping the accounts for the various financial instruments the EU uses in market activities, and producing periodic financial statements, both for market-activity and financial-engineering instruments.
Since 1 January 2005, financial instruments accounting has been performed in line with EC accounting rules that are based on International Public Sector Accounting Standards (IPSAS) and International Financial Reporting Standards (IFRS).
Other activities include:
In addition, DG ECFIN authorises all SWIFT payment messages needed for the activities of DG ECFIN's treasury.
These activities are subject to regular internal and external audits and to audits by the European Court of Auditors.
The risk-management function includes checking the compliance with investment guidelines and the assessment, management and reporting of the financial risks associated with the activities of DG ECFIN's treasury.
The main financial risks managed include market risk, counterparty risk and operational risk. DG ECFIN draws up periodic reports on the monitoring of financial risks (e.g. reports on the situation of borrowers of the ECSC i.l. and reports on limit utilisation and risk concentration).
In addition to these main areas of activity, it undertakes other accounting and back-office duties as required.
Financial report of the ECSC in liquidation
Investment in the Community coal and steel industries