The European Central Bank (ECB) is the central bank for the eurozone, responsible for managing the euro and formulating monetary policy for the member states of the European Union that have adopted the euro. Established in 1998, the ECB aims to maintain price stability and oversee the financial stability of the euro area. The ECB plays a crucial role in the European economy by setting interest rates, controlling inflation, and ensuring the smooth operation of payment systems. It also supervises major banks in the eurozone to promote a safe and sound banking system, contributing to the overall economic stability of the region.