European Currency Unit
April 13, 2020European Stability Mechanism
April 13, 2020The European Financial Stability Facility (EFSF) was created by the 27 member European Union in 2010 aimed to provide a temporary crisis resolution measure taken after the financial and sovereign debt crisis in the Eurozone.
By issuing bonds or other debt instruments, EFSF can raise funds to provide loans to countries or banks that get involved in financial troubles. This is supported by EU member states.
Financial assistance provided by EFSF was replaced by the European Stability Mechanism (ESM), which is a permanent rescue funding program, but it continues to exist to fulfill obligations on previously agreed programs.
