Another no from Germany. According to sources from the Berlin government, the chancellor Angela Merkel rejects the idea of increasing i collection limits for the permanent rescue fund Esm.
This is the instrument that - based on the latest EU agreements - will replace the current EFSF rescue fund and should start operating from the middle of next year with an effective credit capacity of 500 billion euros.
Herman Van Rompuy, president of the European Council, said today that a review of the adequacy of funding will be completed in March.
The news had an inevitable reverberation on the Stock Exchange. Within a few minutes Piazza Affari canceled the progress painstakingly built during the session, returning below parity by almost one point.
