15 Jul 2015
EFSM is best for Greek short-term financing – EU’s Dombrovskis
FXStreet (Mumbai) - The EU’s Dombrovskis was on the wires on Wednesday stating that the European Financial Stability Mechanism (EFSM) is best for Greek short-term financing.
Dombrovskis favours EFMS as it has a long grace period - interest rate, payment till 2020 and principal till 2023. He added that there are no prospects for bilateral aid for Greece, while stating that the EU is working on guarantees ,collateral to ensure non-euro states do not lose money in any bridge finance to Greece.
The European Financial Stability Mechanism (EFSM) is an emergency funding programme reliant upon funds raised on the financial markets and guaranteed by the European Commission using the budget of the European Union as collateral.
Dombrovskis favours EFMS as it has a long grace period - interest rate, payment till 2020 and principal till 2023. He added that there are no prospects for bilateral aid for Greece, while stating that the EU is working on guarantees ,collateral to ensure non-euro states do not lose money in any bridge finance to Greece.
The European Financial Stability Mechanism (EFSM) is an emergency funding programme reliant upon funds raised on the financial markets and guaranteed by the European Commission using the budget of the European Union as collateral.