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European stability mechanism is a crisis mechanism set up to safe guard financial stability in the euro area. Its main features will build on the existing EFSF (European financial stability facility). ESM will complement new framework for reinforced economic surveillance in EU.
@soap_bend further more this includes in particular a strong focus on debt sustainability and more effective enforcement measures, focus on prevention and will substantially reduce the probability of crisis emerging in future.
To add to the above points. ESM will have the legal backing of EU Treaties which EFSF did not have. EFSF was meant to be a temporary feature whereas ESM is a permanent feature
I am busy writing answers to questions of my optionals. I am having them corrected by some profs. I will start off again and also give more clarifications to some of the questions I have already asked in a few days.
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Comments
ESM will complement new framework for reinforced economic surveillance in EU.
Like an explanation for beginners?
try to follow from where u left irrespective of todays date..so that u have continuity and so that u can post more than 1 question a day.
right nw we hv backlog, but if u continue, soon we will have question of the day jan 5, 2013!!!!