Germany Ready to Combine ESM, EFSF Funds, WirtschaftsWoche Says
German Chancellor Angela Merkel’s government is ready to add unused funds from the euro region’s financial backstop to its permanent successor, WirtschaftsWoche reported, citing government officials it didn’t name.
The government would support combining the lending power of the European Financial Stability Facility and the 500 billion- euro ($661 billion) European Stability Mechanism, the euro region’s future permanent financial backstop, the magazine said.
The two facilities together would have a lending volume of about 790 billion euros, the magazine said. The ESM alone would be insufficient if Italy and Spain were to seek financial assistance, the magazine said.
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