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EN

COUNCIL OF
THE EUROPEAN UNION

9596/10 (Presse 108)

PRESS RELEASE
Extraordinary Council meeting

Economic and Financial Affairs
Brussels, 9/10 May 2010
President

Ms Elena SALGADO
Second Vice-President of the Government and Minister for
Economic Affairs and Finance of Spain

PRESS
Rue de la Loi 175

B – 1048 BRUSSELS

Tel.: +32 (0)2 281 8914 / 6319

Fax: +32 (0)2 281 8026

press.office@consilium.europa.eu http://www.consilium.europa.eu/Newsroom

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9.V.2010

Main results of the Council

The Council and the member states decided on a comprehensive package of measures to preserve
financial stability in Europe, including a European financial stabilisation mechanism, with a total
volume of up to EUR 500 billion.

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CONTENTS1

PARTICIPANTS................................................................................................................................ 4

ITEMS DEBATED
EUROPEAN STABILISATION MECHANISM TO PRESERVE FINANCIAL STABILITY ........ 6
OTHER ITEMS APPROVED
none

1

Where declarations, conclusions or resolutions have been formally adopted by the Council, this is indicated
in the heading for the item concerned and the text is placed between quotation marks.
Documents for which references are given in the text are available on the Council's Internet site
(http://www.consilium.europa.eu).
Acts adopted with statements for the Council minutes which may be released to the public are indicated by
an asterisk; these statements are available on the Council's Internet site or may be obtained from the Press
Office.

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PARTICIPANTS
The governments of the Member States and the European Commission were represented as follows:
Belgium:
Mr Didier REYNDERS
Bulgaria:
Mr Simeon DJANKOV
Czech Republic:
Mr Eduard JANOTA
Mr Tomáš ZÍDEK

Deputy Prime Minister and Minister for Finance and
Institutional Reforms
Deputy Prime Minister and Minister for Finance
Minister for Finance
Deputy Minister for Finance, International Relations and
Financial Policy Section

Denmark:
Mr Claus HJORT FREDERIKSEN

Minister for Finance

Germany:
Mr Thomas de MAIZIÈRE
Mr Jörg ASMUSSEN

Federal Minister for the Interior
State Secretary, Ministry of Finance

Estonia:
Mr Jürgen LIGI

Minister for Finance

Ireland:
Mr Brian LENIHAN

Minister for Finance

Greece:
Mr George PAPACONSTANTINOU

Minister for Finance

Spain:
Ms Elena SALGADO
Mr José Manuel CAMPA

Second Vice-President of the Government and Minister
for Economic Affairs and Finance
State Secretary for Economic Affairs

France:
Ms Christine LAGARDE

Minister for Economic Affairs, Industry and Employment

Italy:
Mr Giulio TREMONTI

Minister for Economic Affairs and Finance

Cyprus:
Mr Charilaos STAVRAKIS

Minister for Finance

Latvia:
Mr Normunds POPENS

Permanent Representative

Lithuania:
Ms Ingrida ŠIMONYTĖ

Minister for Finance

Luxembourg:
Mr Luc FRIEDEN

Minister for Finance

Hungary:
Mr Tamás KATONA

State Secretary, Ministry of Finance

Malta:
Mr Tonio FENECH

Minister of Finance, Economy and Investment

Netherlands:
Mr Jan Kees de JAGER

Minister for Finance

Austria:
Mr Josef PRÖLL

Vice Chancellor and Federal Minister for Finance

Poland:
Mr Jan VINCENT-ROSTOWSKI

Minister for Finance

Portugal:
Mr Fernando TEIXEIRA DOS SANTOS

Ministro de Estado, Minister for Finance

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Romania:
Mr Alexandru NAZARE

State Secretary, Ministry of Finance

Slovenia:
Mr Franc KRIŽANIČ

Minister for Finance

Slovakia:
Mr Peter KAŽIMÍR

State Secretary at the Ministry of Finance

Finland:
Mr Jyrki KATAINEN

Deputy Prime Minister, Minister for Finance

Sweden:
Mr Anders BORG

Minister for Finance

United Kingdom:
Mr Alistair DARLING

Chancellor of the Exchequer

Commission:
Mr Olli REHN

Member

Other participants:
Mr Jean-Claude JUNCKER
Mr Lucas PAPADEMOS
Mr Philippe MAYSTADT
Mr Thomas WIESER
Mr Lorenzo CODOGNO

President of the Euro Group
Vice-President of the European Central Bank
President of the European Investment Bank
Chairman of the Economic and Financial Committee
Chairman of the Economic Policy Committee

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ITEMS DEBATED
EUROPEAN STABILISATION MECHANISM TO PRESERVE FINANCIAL STABILITY
The Council adopted the following conclusions:
"The Council and the Member States have decided today on a comprehensive package of measures
to preserve financial stability in Europe, including a European Financial Stabilisation mechanism
with a total volume of up to EUR 500 billion.
In the wake of the crisis in Greece, the situation in financial markets is fragile and there was a risk
of contagion which we needed to address. We have therefore taken the final steps of the support
package for Greece, the establishment of a European stabilisation mechanism and a strong
commitment to accelerated fiscal consolidation, where warranted.
First, following the successful conclusion of procedures in euro area Member States and the
meeting of euro area Heads of State or Government, the way has been cleared for the
implementation of the support package for Greece. The Commission has signed today, on behalf of
the euro area Member States, the loan agreement with Greece and the first disbursement will
proceed, as planned, before 19 May. The Council strongly supports the ambitious and realistic
consolidation and reform programme of the Greek government.
Second, the Council is strongly committed to ensure fiscal sustainability and enhanced economic
growth in all Member States and therefore agrees that plans for fiscal consolidation and structural
reforms will be accelerated, where warranted. We therefore welcome and strongly support the
commitment of Portugal and Spain to take significant additional consolidation measures in 2010
and 2011 and present them to the 18 May ECOFIN Council. The adequacy of such measures will be
assessed by the Commission in June in the context of the excessive deficit procedure. The Council
also welcomes the commitment to announce by the 18 May ECOFIN Council structural reform
measures aimed at enhancing growth performance and thus indirectly fiscal sustainability
henceforth.
Third, we have decided to establish a European stabilisation mechanism. The mechanism is based
on Art. 122.2 of the Treaty and an intergovernmental agreement of euro area Member States. Its
activation is subject to strong conditionality, in the context of a joint EU/IMF support, and will be
on terms and conditions similar to the IMF.

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Art. 122.2 of the Treaty foresees financial support for Member States in difficulties caused by
exceptional circumstances beyond Member States’ control. We are facing such exceptional
circumstance today and the mechanism will stay in place as long as needed to safeguard financial
stability. A volume of up to EUR 60 billion is foreseen and activation is subject to strong
conditionality, in the context of a joint EU/IMF support, and will be on terms and conditions similar
to the IMF. The mechanism will operate without prejudice to the existing facility providing medium
term financial assistance for non euro area Member States' balance of payments.
In addition, euro area Member States stand ready to complement such resources through a Special
Purpose Vehicle that is guaranteed on a pro rata basis by participating Member States in a
coordinated manner and that will expire after three years, respecting their national constitutional
requirements, up to a volume of EUR 440 billion. The IMF will participate in financing
arrangements and is expected to provide at least half as much as the EU contribution through its
usual facilities in line with the recent European programmes.
At the same time, the EU will urgently start working on the necessary reforms to complement the
existing framework to ensure fiscal sustainability in the euro area, notably based on the
Commission Communication to be adopted on 12 May 2010. We underline the importance that we
attach to strengthening fiscal discipline and establishing a permanent crisis resolution framework.
We underlined the need to make rapid progress on financial market regulation and supervision, in
particular with regard to derivative markets and the role of rating agencies. Furthermore, we need to
continue to work on other initiatives, such as the stability fee, which aim at ensuring that the
financial sector shall in future bear its share of burden in case of a crisis, also exploring the
possibility of a global transaction tax. We also agreed to speed up work on crisis management and
resolution.
We also reiterate the support of the euro area Member States to the ECB in its action to ensure the
stability to the euro area. "
*
*

*

The Council also adopted a regulation establishing a European financial stabilisation mechanism.
In addition, the representatives of the governments of the euro area member states adopted a
decision to commit to provide assistance through a Special Purpose Vehicle that is guaranteed on a
pro rata basis by participating member states in a coordinated manner and that will expire after three
years, up to EUR 440 billion, in accordance with their share in the paid-up capital of the European
Central Bank and pursuant to their national constitutional requirements.
The representatives of the governments of the 27 EU member states adopted a decision allowing the
Commission to be tasked by the euro area member states in this context.

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OTHER ITEMS APPROVED
None

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