The euro: from crisis to confidence
The euro: from crisis to confidence
Resolute joint action has helped the euro area protect its currency union and nurture trust both at home and internationally. A rapid and decisive European response to crises lies at the heart of the ESM’s mission and over the past decade it has demonstrated force and agility to fulfil that mission.
Today, the euro area is larger, more robust, and better equipped to face new challenges than it was a decade ago. A succession of shocks in both the distant and more recent past have pushed the euro area to build up its resources for managing economic emergencies. Vital among them has been the establishment of the ESM in 2012, giving markets confidence that the sovereign debt crisis could be effectively resolved by mutual support among all the countries using the euro.
The ESM, with its €500 billion in lending capacity, brought a more robust and permanent institutional and capital structure to the euro area’s crisis management system.
