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EURO AREA LOAN FACILITY BILL 2010

Posted on May 25, 2010

The purpose of the Bill is to give Dáil approval to the Loan Facility Agreement between the Euro Area Member States of the EU and Greece in order to prevent Greece from defaulting on its loans and to secure the stability of the Eurozone as a whole.

The Bill provides for the loans to be managed by the EU Commission on behalf of the Member States and for conditions to be applied in relation to fiscal measures and structured reforms which will be reviewed quarterly by the Commission, the International Monetary Fund and the European Central Bank.

The funding totalling €110 billion - €80 billion from the EU Member States and €30 billion from the International Monetary Fund will be payable over three years.

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