About: ESM

Eurogroup launches permanent rescue fund, says Spain does not need bailout

Eurozone's new permanent rescue fund was launched on Monday at a meeting of finance ministers in Luxembourg. Funded by taxpayers' money, the so-called European Stability Mechanism will have a 500 bn euro budget to help finance debt-ridden countries.

Barroso warns Hungary it needs to comply with EU laws

The European Union will make sure that Hungary complies with all the bloc's laws, the head of the bloc's executive promised on Thursday. Hungary's conservative government is under fire for a series of new laws and constitutional amendments which critics say unduly concentrate powers on a range of matters - from finances to election law - with the administration.

Merkel: We’re buying time for other countries

German Chancellor Angela Merkel on Sunday said that she can not rule out letting a eurozone country default on its debts. Merkel said that this is a possibility to consider once the Eurozone has a permanent rescue fund in place. In a one-hour interview with ARD television, Merkel said a permanent rescue fund is necessary to prevent crisis in countries such as Greece from spilling over to other countries that use the euro as their currency.