Government approves ESM, may get a 1.3-billion-euro bill
03.02.2012, 10:54The government has approved the European Stability Mechanism treaty in which Estonia’s share is 0.186 percent or about 1.3 billion euros.
The total amount of the ESM fund is 700 billion euros including 80 billion in actual contributions and the rest capital on demand.
As its contribution, Estonia will pay 148 million euros over five years, about 30 million euros a year.
Because of Estonia’s GDP per capita is less than 75 percent of the EU average, Estonia’s relative share in ESM was lowered.
The government has already instructed the country's permanent representative at the EU, Matti Maasikas, to sign the document. After he does so, it will go to Parliament for ratification.
The European Stability Mechanism was set up to provide members in difficulty strictly conditional financial aid to maintain financial stability in the Eurozone and member states.