The ESM Treaty will be revised to provide a legal basis for a set of new tasks assigned to the ESM. These tasks were part of a wider package of measures approved the by Heads of State or Government in December 2018 to complete the Banking Union and to strengthen further the Economic and Monetary Union (EMU) and the ESM. This included the introduction of the common backstop for the Single Resolution Fund (SRF), to be provided by the ESM on behalf of the euro area, as well as the further development of the financial assistance instruments and the role of the ESM.
The revisions to the ESM Treaty were broadly agreed by the Eurogroup in June 2019. A final decision by the euro area Heads of State or Government is expected in December 2019, which would pave the way for starting the ratification process of the revised Treaty.