The Commission formally proposed to grant financial assistance for Hungary's balance of payments and to raise the overall ceiling for providing medium-term financial assistance to EU countries' BoPs from €12 to €25 billion.
The Commission formally proposed to grant financial assistance for Hungary's balance of payments and to raise the overall ceiling for providing medium-term financial assistance to EU countries' BoPs from €12 to €25 billion.
Both proposals have been sent to Member States which are expected to endorse them at the ECOFIN meeting on 4 November.
The Hungarian financial markets came under severe stress as the global financial crisis deepened and broadened. Under the proposal Hungary will benefit of a medium-term loan amounting to a maximum of €6.5 billion, with a maximum average maturity of five years. The EU support is granted in conjunction with a loan from the International Monetary Fund of €12.5 billion. The World Bank has also agreed to contribute a loan of €1 billion.
Press release
© European Commission
Key
Hover over the blue highlighted
text to view the acronym meaning
Hover
over these icons for more information
Comments:
No Comments for this Article