Germany takes final step for bailout fund ratification
2012-09-26 14:09:13
The German government on Wednesday approved a memorandum, clearing the last hurdle in the ratification of the permanent bailout fund, the European Stability Mechanism.
The ratification was held up for months on the grounds of its legality. The top court on September 12 cleared Germany's participation in the bailout fund with certain conditions. The court set a cap on Germany's bailout fund liability at EUR 190 billion.
The court also stipulated that both houses of parliament should be informed about any significant change to the bailout fund liabilities. Germany is now free to complete ratification of the ESM.