Bloomberg the Company & Products

Bloomberg Anywhere Login


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

German Lawmakers Win Bid Over Government Informing on ESM

Don't Miss Out —
Follow us on:

June 21 (Bloomberg) -- The start of Europe’s permanent bailout fund may be delayed next month after Germany’s Constitutional Court asked the president to withhold his signature pending potential lawsuits challenging the law.

Germany’s Federal Constitutional Court asked President Joachim Gauck to hold back from signing the European Stability Mechanism and the fiscal pact into law to allow sufficient time to examine potential lawsuits, Gauck’s office said today in e-mailed statement, adding that the president will honor the request.

The court will probably ask Gauck to wait a “few days” before signing the ratification of the ESM, which is scheduled to be approved by both houses of parliament on June 29 along with the European fiscal pact, court spokeswoman Judith Blohm said today. The European Union has been planning for the ESM to start operating on July 9.

The request is normal procedure to allow the court to rule on a potential emergency action seeking to block the law, Blohm said in an interview from the western city of Karlsruhe. Groups including Germany’s Left Party -- the former East German communists -- which wants to stop the fiscal pact, have said they’ll challenge the legislation.

The 500 billion-euro ($629 billion) ESM, designed to bail out indebted euro-area member states beginning this year, will replace the temporary 440 billion-euro European Financial Stability Facility, which was set up in May 2010 to fight the bloc’s debt crisis.

Because the EFSF still has unused funds, a delay for the ESM won’t deny European leaders a backstop tool.

To contact the reporters on this story: Karin Matussek in Berlin at; Patrick Donahue in Berlin at

To contact the editor responsible for this story: Anthony Aarons at

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.