Search

The Leibniz Institute for Financial Research – Sustainable Architecture for Finance in Europe (SAFE) – and the European Stability Mechanism (ESM) will hold a high-level webinar on relaunching the EU’s capital markets union.

The result of the auction of 3 August 2021 for the 3-months Bills of the ESM was as follows:
Total Bids € 13,990.00 mn
Competitive bids € 2,236.00 mn
Non-competitive bids € 11,754.00 mn
Allotment / Issue volume € 1,499.32 mn

There were no changes to ESM (AAA) and EFSF (AA) rating triggers. ESM’s AAA rating is based on Fitch conservative medium-term scenario under which the ESM uses its full lending capacity of EUR500bn to provide financial support to euro area sovereigns (EUR432bn) and a credit line to the Single Resolution Fund (EUR68bn). Please note that the EFSF rating does not have an outlook.

 

The European Stability Mechanism (ESM) will launch 3-months Bills of the European Stability Mechanism (ESM) by auction. An issue volume up to EUR 1.5 billion is envisaged.

Time schedule of the auction procedure:
Date of invitation to bid: Monday, 2 August 2021
Bidding period: Tuesday, 3 August 2021, from 8:00 a.m. until 12:30 p.m. CET
Value date: Thursday, 5 August 2021

During the coronavirus pandemic, euro area household savings – income not used for consumption – rose to unprecedented levels, as was the case in many industrial countries. In 2020, the annual savings ratio in the euro area, household savings[1] as a fraction of their disposable income, increased by around 7 percentage points (pp) to about 20% of disposable income. This corresponds to about €1,400 billion in savings, or the equivalent of around 12% of 2019 euro area GDP.

Session on: Comparing the EU’s and the United States’ response to the pandemic.