BERLIN (MNI) – The German government cabinet on Wednesday took the
last formal step to ratify the new permanent bailout fund, the European
Stability Mechanism (ESM).
The declaration approved by the cabinet today stated that, in line
with the ruling of the German Constitutional Court, both houses of
German parliament had been informed about the joint declaration of all
Eurozone member states on the ESM.
In their joint declaration, the member states will make clear that
the volume of the ESM cannot be increased automatically without prior
approval of the states.
Germany’s lower house of parliament is to debate the ESM this
afternoon. No new formal vote is necessary. Both houses of parliament
have already approved the ESM bill with a two-thirds majority.
–Berlin bureau: +49-30-22 62 05 80; email: twidder@marketnews.com
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