27.09.2012 - 08:11 [ Nils Pratley / Guardian ]

Spanish hopes threatened by ‚shocking‘ statement

The ESM, declared the trio, can only go to work on bank recapitalisations „once the single [bank] supervisory mechanism is established and its effectiveness has been determined“. That latter could take years. Further, „legacy assets“ should remain the responsibility of national governments. So are saying there should be no central hand-outs to cover past government-funded bailouts of banks.

The statement is a shocker.