About: european stability mechanism

Economy, finance take centre stage in Commission’s final legislative push

Initiatives to strengthen the financial markets and deepen the economic and monetary union will play a major role in the European Commission’s work programme for 2018, the final one before the legislative machine slows down in the run-up to European elections in 2019.

Post-election Germany: An iron chancellor with a liberal sidekick?

If the liberal FDP enters a coalition with the conservative CDU in Berlin, Merkel and Schäuble will have to adapt their plans for the future of the European Stability Mechanism (ESM). EURACTIV Germany's partner Der Tagesspiegel reports.

Paris and Berlin at odds over ‘grand bargain’ to deepen eurozone

French President Emmanuel Macron's push for an ambitious overhaul of Europe's single currency bloc is running up against robust resistance in Berlin despite conciliatory public signals from German Chancellor Angela Merkel.

Germany warned against eurozone reform complacency ahead of election

The political will to keep the eurozone together is eroding inexorably, warns Leo Hoffmann-Axthelm from Transparency International. In an interview, he reminds German politicians about their responsibility in the eurozone crisis, calling for vital governance reforms to be adopted after the September election.

Transparency International: German criticism of ECB ‘a tad dishonest’

As Germany prepares for general elections in September, Leo Hoffmann-Axthelm reminds about Berlin’s responsibility in the politicisation of the European Central Bank (ECB), saying it is largely due to German inaction during the Eurozone crisis.

Schäuble preparing EU bailout fund reform proposal

German Finance Minister Wolfgang Schäuble is working on a proposal that would allow southern eurozone countries to tap into the single currency bloc's bailout fund to boost investments during recessions, a newspaper reported on Wednesday (23 August).

Eurozone chief backs German calls for ‘a European IMF’

The European Stability Mechanism (ESM) – the eurozone's bailout fund – should ultimately be turned into a European version of the International Monetary Fund IMF, according to the head of eurozone finance ministers.

Euro Bombs: European Investment Bank to be turned into arms bank?

The EU consistently fails to make crucial public investments in infrastructure, education or healthcare, but seems to have no problem finding the money for military upgrades, writes Fabio de Masi.

A budget for the eurozone is taking shape

Budgetary capacities are an important tool to protect the eurozone from economic shocks, and their extension to non-eurozone countries could help with the economic convergence of the newer member states, writes Siegfried Muresan.

Handling our structural problems a prerequisite for openness

The Five President’s Report does not provide enough answers on how to push through vital reforms and does not focus on how to solve the monetary union’s main problems, writes Paul Lindquist.

Italy wants EU bonds to fund refugee response

A common European Union policy to manage external borders and cope with the refugee crisis should be funded with common resources, including through the issuance of EU bonds, Italy said on Monday (22 February).

The Five Presidents’ Report: Now is the time for debate

In its current state, the eurozone is not only vulnerable to economic crises and populist slogans from the left and right. It also lacks democratic legitimation, argues Joachim Poß.

French strategists map reforms to counter EU defiance

France Stratégie, a government advisory body, has issued a report outlining the reforms it deems necessary to keep the European project alive and counter rising French Euroscepticism. EURACTIV France reports.

Hollande’s ambitious ‘New Deal’ for Europe

French President François Hollande proposed a Keynesian-style investment plan for Europe, which includes investments of €1.2 trillion to renew economic growth. EURACTIV France reports.

EIB Chief: ‘The crisis will not be over until reforms are felt on the job market’

The financial crisis is not over yet but Europe has already conceptually wrapped it up, Werner Hoyer tells EURACTIV Germany in an interview.

Eurozone set for direct bank recapitalisation in 2015

The euro zone's bailout fund, the European Stability Mechanism, could directly invest in a troubled bank next year, after 8% of the bank's total liabilities are written off, the chairman of eurozone finance ministers said on Monday (5 May).

Schulz and Juncker at loggerheads over France

Jean-Claude Juncker describes Martin Schulz’s lax attitude to France’s public debt as a “serious political error”. EURACTIV France reports.

Public debt plan gaining momentum

By reducing their debt, European countries, will return to economic growth. But creating redemption funds, and eurobligations, raises the spectre of fiscal union. EURACTIV France reports.

Germany opposes rescuing ailing banks with EU money

Germany challenged a central plank of plans to forge a banking union in the eurozone yesterday (14 November), arguing against the use of the currency bloc's funds to help lenders exposed as dangerously weak by health checks next year.

German constitutional court should not stymie emergency eurozone action

The German court in Karlsruhe is considering referring the European Central bank to the European Court of Justice for its actions during the Eurozone crisis, but the bank has acted in the interests of the Eurozone economy as a whole, and of Germany, writes Guntram Wolff.

Japan weighs purchase of first eurozone bailout bonds

Japanese Finance Minister Taro Aso said today (8 January) that his country will purchase bonds issued by the eurozone's bailout fund to help foster financial stability.

ESM kicks off as its first client keeps low profile

Eurozone finance ministers meeting in Luxembourg launched the European Stability Mechanism (ESM) yesterday (8 October), a €500-billion rescue fund for the 17 countries that share the currency. Its first task will be to help Spain recapitalise its banks, but reportedly no discussion took place about Madrid needing a full bailout.

Brussels to lay out banking union plan by early September

  The European Commission is aiming to present its banking union plan by September 11, in a bid to contain the euro crisis that has prompted several EU countries to seek bailout to finance their banks, EU officials reportedly said on Monday (6 August).

Political hurdles cleared in Spanish bank bailout

The Eurogroup today (20 July) announced it would grant a bailout of up to €100 billion to Spain to help the country recapitalise its banks, following a telephone conference call during which finance ministers gave their backing to the rescue plan.