Lithuania joins the ESM

The Republic of Lithuania became the 19th Member of the ESM on 3 February 2015. This follows the country’s adoption of the euro that took effect on 1 January 2015.

Lithuania will take part in the ESM’s decision-making process through its representatives in the Board of Governors.

ESM Members may request financial assistance if they experience problems with market financing, when such assistance is necessary to safeguard the financial stability of the euro area as a whole and of its Member States.

As an ESM Member, Lithuania subscribes to ESM capital, which provides backing for debt instruments issued by the ESM in order to finance loans and other forms of financial assistance.

The technical terms of Lithuania’s accession to the ESM were approved by the ESM Board of Governors, which is composed of the euro area finance ministers. These terms include the calculation of Lithuania’s capital contribution to the ESM. Taking into account a temporary correction for new ESM members whose GDP per capita is less than 75% of the EU average, Lithuania’s ESM capital contribution key was set at 0.4063%. Based on this key, Lithuania’s capital subscription is €2.86 billion, including €327.2 million in paid-in capital. The payment of paid-in capital will be made in five annual instalments of €65.4 million each.

Lithuania joins the ESM

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