The Governing Council of the European Financial Stability Facility (EFSF) decided to reduce to zero the margin for interest rate increases on Greece’s loans for the period between 1 January and 17 June 2022, as part of the medium-term debt relief measures agreed for the country in 2018. The value of this seventh consecutive reduction […]
Tag: ESM
No white smoke came out of the ESM Board of Governors for Klaus Regling’s successor today either
The Board of Governors of the European Stability Mechanism (ESM) failed today to choose Klaus Regling’s successor as ESM Managing Director and the vote has been postponed until September. The new ESM CEO is expected to take office in October, when current CEO Klaus Regling’s second five-year term ends. However, for the third time it […]
Regling (ESM): Countries with high debt should continue prudent economic policy
By Tasos Dasopoulos Countries with very high debt should maintain a prudent fiscal policy, reiterated the head of the European Stability Mechanism (ESM), Klaus Regling, who otherwise had only good words to say about Greece’s progress. Speaking at the Economist conference and looking back on the 10 years he has been in contact with the […]
A new upgrade of the Greek economy is coming from a major rating agency
By Tasos Dasopoulos Another “surprise” upgrade of the country’s credit, one notch below the minimum investment grade, is expected on Friday, July 8, by the third largest rating agency, the US Fitch. The information reaching Athens in the last few days wants the third largest rating agency to do on Friday what it did not […]
The 3 solutions on the ECB’s table for the bonds of the South
By Leonidas Stergiou The technical services of the ECB are proceeding with a “stress test” of the scenarios for the new intervention tool in the bond markets, while at the political level a solution is being sought for the terms and wording. The tug-of-war between technical efficiency and political balances seems to result in three […]
ESM: Sees difficulties for Greece since the war in Ukraine
By Tasos Dasopoulos The European Stability Mechanism (ESM) frames its annual report on the Eurozone, with reference to the promotion of the necessary reforms and the strong economic recovery in 2021, but also questions about the effects of the war in Ukraine. . According to the report for 2021, the Greek economy has recovered dynamically […]
In Luxembourg, Chr. Staikouras for the Eurogroup and Ecofin meetings
The Minister of Finance, Christos Staikouras, is going to Luxembourg to participate tomorrow, Thursday and the day after, Friday in the meetings of the Eurogroup and Ecofin, as well as in the annual meetings of the Governing Councils of the European Stability Mechanism (ESM) and the European Bank for Reconstruction and Development. . In particular, […]
ESM: In the final stretch the emergence of the successor of Klaus Regling
The European Stability Mechanism (ESM) is entering the final stretch for its new leadership. The new CEO will be appointed in mid-June, by a qualified majority of the ESM Board of Directors (80% of the vote). He is expected to take office in October, when the second five-year term of the current CEO, Klaus Regling, […]
ESM: Proposal for a € 250 billion Stability Fund
The European Stability Mechanism has proposed the creation of a Eurozone Stability Fund totaling up to € 250 billion, which could provide low-interest loans to member states facing external shock problems. The proposal is presented in a study by ESM executives Florian Misch and Martin Rey, entitled: “The argument for a Eurozone Stability Fund based […]
Regling: Debt sustainability should be key goal of new fiscal rules
The post-pandemic fiscal rules should be simpler and reflect the changes that have taken place in the macroeconomic environment, said ESM chief Klaus Regling. Speaking at the 7th Delphi Economic Forum, Mr Regling said the main goal should be to ensure debt sustainability, although he added that “there are other goals we want to achieve”, […]