The European Financial Stability Facility (EFFS) is a Eurozone-financed special-purpose company to combat the European debt crisis . The decision to create it was approved by 27 member countries of the European Union on May 9, 2010. The work of the fund is aimed at maintaining financial stability in Europe by providing financial assistance to Eurozone countries in the face of economic difficulties. The headquarters of the fund is located in Luxembourg . The European Investment Bank provides the fund with cash management services and administrative support through a service level agreement .
| European Financial Stability Facility | |||||||||||||||||||||||||||||||||||||||||||||
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in official languages:
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 Fund logo | |||||||||||||||||||||||||||||||||||||||||||||
| Membership | 28 member states | ||||||||||||||||||||||||||||||||||||||||||||
| Headquarters | Luxembourg | ||||||||||||||||||||||||||||||||||||||||||||
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| CEO | Klaus Regling | ||||||||||||||||||||||||||||||||||||||||||||
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| Decision to create | May 9, 2010 | ||||||||||||||||||||||||||||||||||||||||||||
| Institution | June 7, 2010 [1] | ||||||||||||||||||||||||||||||||||||||||||||
| Beginning of work | August 4, 2010 | ||||||||||||||||||||||||||||||||||||||||||||
| efsf.europa.eu/about/ind... | |||||||||||||||||||||||||||||||||||||||||||||
Warranty
The table below shows the current maximum level of joint and individual liability given by Eurozone countries. Amounts are based on data from the European Central Bank for countries' ownership interests in the fund. The European Union also asked the eurozone countries to approve an increase in guarantees to 780 billion euros. Most of the risk of the proposed increase from 440 to 780 billion € will fall on countries with an “AAA” rating and, in case of a possible default of the fund’s investments, on their taxpayers. At the same time, 110 billion euros provided to Greece in 2010 is not part of the EFSF guarantees, but provided by countries through separate obligations.
| A country | Down payments | Increased Contributions | |||
|---|---|---|---|---|---|
| Warranty (million €) | Share | € / person | Warranty (million €) | Share | |
| Austria | 12,241.43 | 2.78% | 1,464.86 | 21 639.19 | 2.7750% |
| Belgium | 15,292.18 | 3.48% | 1,423.71 | 27,031.99 | 3,4666% |
| Germany | 119 390.07 | 27.13% | 1,454.87 | 211,045.90 | 27.0647% |
| Greece | 12 387.70 | 2.82% | 1,099.90 | 21 897.74 | 2.8082% |
| Ireland | 7,002.40 | 1.59% | 1,549.97 | 12,378.15 | 1.5874% |
| Spain | 52 352.51 | 11.90% | 1,141.75 | 92 543.56 | 11.8679% |
| Italy | 78,784.72 | 17.91% | 1,311.10 | 139,267.81 | 17.8598% |
| Cyprus | 863.09 | 0.20% | 1,076.68 | 1,525.68 | 0.1957% |
| Luxembourg | 1,101.39 | 0.25% | 2,239.95 | 1 946.94 | 0.2497% |
| Malta | 398.44 | 0.09% | 965.65 | 704.33 | 0.0903% |
| Netherlands | 25,143.58 | 5.71% | 1,525.60 | 44,446.32 | 5.6998% |
| Portugal | 11 035.38 | 2.51% | 1,037.96 | 19 507.26 | 2,5016% |
| Slovakia | 4,371.54 | 0.99% | 807.89 | 7 727.57 | 0.9910% |
| Slovenia | 2,072.92 | 0.47% | 1 009.51 | 3,664.30 | 0.4699% |
| Finland | 7 905.20 | 1.80% | 1,484.51 | 13 974.03 | 1.7920% |
| France | 89 657.45 | 20.38% | 1,398.60 | 158,487.53 | 20.3246% |
| Estonia | 1 994.86 | 0.2558% | |||
| Eurozone (16) without Estonia | 440,000.00 | 100 % | 1,339.02 | ||
| Eurozone (17) | 779 783.14 | 100 % | |||
See also
- Maastricht criteria
- PIGS Countries
- World financial crisis (2008—2011)
- Debt crisis in Greece
Notes
- ↑ The Eurogroup has established an anti-crisis fund of 750 billion euros (Russian) , RBC St. Petersburg , RBC (June 8, 2010). Date of appeal September 30, 2011. “Ministers of finance of 16 countries of the Eurozone (Eurogroup) at a meeting held in Luxembourg on June 7, 2010 formally established the European mechanism for protecting financial stability in the eurozone and the European Union as a whole.” (inaccessible link)