ion of
Community law concerning the internal market.
3. The provision of Articles 104, 104a(1), 104b(1), and 104c with the
exception of paragraphs 1,9,11 and 14 shall apply from the beginning
of the second stage.
The provision of Articles 103a(2), 104c(1), (9) and (11), 105, 105a, 107,
109, 109a, 109b and 109c(2) and (4) shall apply from the beginning of
the third stage.
4. In the second stage, Member States shall endeavour to avoid
excessive government deficits.
5. During the second stage, each Member State shall, as appropriate,
start the process leading to the independence of its central bank, and
in accordance with Article 108.
ARTICLE 109f
1. At the start of the second stage, a European Monetary Institute
(hereinafter referred to as "EMI") shall be established and take up its
duties; it shall have legal personality and be directed and managed by
a Council, consisting of a President and the Governors of the national
central banks, one of whom shall be Vice-President.
The President shall be appointed by common accord of the
Governments of the Member States at the level of Heads of State or of
Government, on a recommendation from, as the case may be, the
Committee of Governors of the central banks of the Member States
(hereinafter referred to as "Committee of Governors") or the Council of
the EMI, and after consulting the European Parliament and the Council.
The President shall be selected from among persons of recognized
standing and professional experience in monetary or banking matters.
Only nationals of Member States may be President of the EMI. The
Council of the EMI shall appoint the Vice-President.
The Statute of the EMI is laid down in a Protocol annexed to this
Treaty.
The Committee of Governors shall be dissolved at the start of the
second stage.
2. The EMI shall:
- strengthen co-operation between the national central banks;
- strengthen the co-ordination of monetary policies of the Member
States, with the aim of ensuring price stability;
- monitor the functioning of the European Monetary System;
- hold consultations concerning issues falling within the competence of
the national central banks and affecting the stability of financial
institutions and markets;
- take over the tasks of the European Monetary Cooperation Fund,
which shall be dissolved; the modalities of dissolution are laid down
in the Statute of the EMI;
- facilitate the use of the ECU and oversee its development, including
the smooth f