tommy271
Forumer storico
Decision On Greek Debt “Unique And Exceptional”
The new European Treaty will include Eurozone’s 17 member states and six more countries but not all 27 EU countries, according to the President of European Council Herman Van Rompuy.
The President said that the countries would provide additional funds of €200 billion to the International Monetary Fund. Its managing director Christine Lagarde confirmed this also.
Van Rompuy said that the member states would submit their draft budgets to the European Commission, and admitted that the intergovernmental treaty faces obstacles, however a comprehensive treaty was not feasible.
European leaders also agreed on changes in the permanent mechanism (ESM) to improve its efficiency.
Particularly, regarding the participation of the private sector, they agreed to follow the established principles and policies of the IMF.
In this context, the leaders reiterate that the decisions of July 21 and October 27 are unique and exceptional.
They also note that the conditions will include standardized and identical collective action clauses on the new government bonds in euro, in order to ensure liquidity in the markets.
They stress that voting rules in ESM will be modified to ensure that the mechanism will be able to take necessary decisions in every case.
Specifically, a special majority of 85% will replace the rule of mutual agreement in case the European Union and the European Central Bank conclude that an urgent decision is necessary, when the euro is under threat.
(capital.gr)
The new European Treaty will include Eurozone’s 17 member states and six more countries but not all 27 EU countries, according to the President of European Council Herman Van Rompuy.
The President said that the countries would provide additional funds of €200 billion to the International Monetary Fund. Its managing director Christine Lagarde confirmed this also.
Van Rompuy said that the member states would submit their draft budgets to the European Commission, and admitted that the intergovernmental treaty faces obstacles, however a comprehensive treaty was not feasible.
European leaders also agreed on changes in the permanent mechanism (ESM) to improve its efficiency.
Particularly, regarding the participation of the private sector, they agreed to follow the established principles and policies of the IMF.
In this context, the leaders reiterate that the decisions of July 21 and October 27 are unique and exceptional.
They also note that the conditions will include standardized and identical collective action clauses on the new government bonds in euro, in order to ensure liquidity in the markets.
They stress that voting rules in ESM will be modified to ensure that the mechanism will be able to take necessary decisions in every case.
Specifically, a special majority of 85% will replace the rule of mutual agreement in case the European Union and the European Central Bank conclude that an urgent decision is necessary, when the euro is under threat.
(capital.gr)