Economy ESM chief insists on aid zone for euro zone

ESM chief insists on aid zone for euro zone


Shortly before the special EU summit on future EU finances, the head of the ESM bailout called for a crisis pool for the euro zone. “Fiscal capacity for macroeconomic stabilization in the euro area would be very useful,” said ESM chief Klaus Regling at the Europe conference in Munich last night.

Although this is controversial in the EU, it is a “key instrument” that is still missing in the economic and monetary union. This fund would be important to keep the euro zone stable. Because there is no stabilizing effect of a common tax and social policy, but also the possibility of a national exchange rate or monetary policy.

Regling added that there were several proposals on the table, such as the “rainy day fund” of the International Monetary Fund and the proposal for reinsurance of national unemployment insurance. He could also imagine shorter-term ESM loans.

In return for tough reform requirements, the ESM grants loans to euro states in need. However, the new fund should take effect earlier and prevent states from getting into financial difficulties when the economy slumps and having to call the ESM.

Most Recommended Web hosting

World News :


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Latest news

“100% containment surcharge”: an electrician pinned for a very salty bill

He paid for it, but the bill, salted, stuck in his throat. A resident of Béziers (Hérault) was billed...

“A three-week Tour or Tour would lose its essence”

Alberto Contador (Madrid, 36 years old), The only Spanish cyclist to win the big three in stages, he...

After the coronavirus: how will our lives change?

What, how and how much will our lives change as a consequence of the epidemic? Ten thinkers - historians,...

Putin says Russia is ready to cooperate in reducing oil production

Moscow (AFP) - Russia is ready to work with Saudi Arabia and the United States to cut oil production,...

3 cannabis stocks will thrive through the global shutdown

Despite the economic stagnation in much of North America, all first results in the cannabis sector were surprisingly positive....

Must read

You might also likeRELATED
Recommended to you