Law On Financial Participation In The European Stability Mechanism

Original Language Title: Gesetz zur finanziellen Beteiligung am Europäischen Stabilitätsmechanismus

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The Financial Participation Act of the European Stability Mechanism (ESMFinG)

Non-official table of contents

ESMFinG

Date of expend: 13.09.2012

Full quote:

" ESM-Finance Law of 13. September 2012 (BGBl. I p. 1918), which is defined by Article 1 of the Law of 29. November 2014 (BGBl. I p. 1821, 2193) "

:Modified by Art. 1 G v. 29.11.2014 I 1821, 2193

For details, see the Notes

Footnote

(+ + + text certificate: 19.9.2012 + + +)
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Non-official table of contents

§ 1 inheritance of the German share in the core capital of the European Stability Mechanism; change of the Consolidated lending volumes of the European Stability Mechanism and the European Financial Stability Facility

(1) In order to meet the obligations arising from accession to the European Stability Mechanism, the Federal Republic of Germany in the total amount of the capital to be paid for the European Stability Mechanism of EUR 80 billion, with an amount of EUR 21.71712 billion and the total amount of the callable capital of the European Stability Mechanism. European stability mechanism of 620 billion euros, with an amount of 168,30768 billion euros.(2) The Federal Ministry of Finance is authorized to provide for the callable capital in the amount of 168,30768 billion euros warranties. Payments to the callable capital are to be made within the framework of the federal budget
1.
under Article 9 (2) of the Treaty establishing the European Stability mechanism to restore the original amount of the paid-in capital if the paid-in capital falls below the agreed sum of 80 billion euros by compensating for a default of payment;
2.
in accordance with Article 9 (3) of the Treaty establishing the European Stability Mechanism to prevent the European Stability Mechanism from being taken into account in the performance of its Payment obligations;
3.
under Article 25 (2) of the Treaty establishing the European Stability Mechanism in the context of a temporary revision increased capital call;
4.
pursuant to Article 9 (1) of the Treaty establishing the European Stability Mechanism on the basis of a unanimous decision of the The Board of Governors of the European Stability Mechanism.
(3) The Federal Government is empowered to take a decision under Article 10 (1) of the Treaty establishing the European Atomic Energy Community by its representative on the Board of Governors. Stability mechanism to change the consolidated lending volume of the European Stability Mechanism and the European Financial Stability Facility within the meaning of Article 39 of the Treaty establishing the European The European Financial Stability Facility, the European Financial Stability Facility, will be responsible for the implementation of the European Financial Stability Facility by the European Financial Stability Facility. The Commission shall not, in accordance with Article 39 of the Treaty establishing the European Stability Mechanism, not in the case of the calculation of the consolidated volume of loans within the meaning of Article 39 of the Treaty establishing the European Stability Mechanism, shall be required to take up to EUR 200 billion in Deduction is made. Non-official table of contents

§ 2 Granting of stability assistance by the European Stability Mechanism

The European Stability Mechanism shall be entitled to stability assistance under the conditions laid down in the Treaty establishing the European Stability Mechanism and in accordance with the procedure laid down therein by a Party to the European Stability Mechanism. if this is essential to maintain the financial stability of the monetary union as a whole and its Member States. The instruments of stability assistance available to the European Stability Mechanism are pre-order grants, financial aid for the recapitalisation of financial institutions of a contracting party, loans and the purchase of bonds issued by a Party on the primary or secondary market. Grants for the recapitalisation of financial institutions may be granted to a Contracting Party or to its application directly to financial institutions of that Contracting Party. Non-official table of contents

§ 3 Budget and stability responsibility

(1) The German Bundestag shall take part in the affairs of the European Parliament. stability mechanism shall be responsible for the budget and for the stock and for the further development of the stability of the Economic and Monetary Union, in particular in accordance with the following provisions:(2) The German Bundestag shall advise and decide on templates according to this law within a reasonable period of time. In doing so, it shall take account of the deadlines set for decision-making at the level of the euro area. Non-official table of contents

§ 4 Parliamentary reservation for decisions in the European Stability Mechanism

(1) In European affairs The stability mechanism, which relates to the overall fiscal responsibility of the German Bundestag, is perceived by the plenary of the German Bundestag. Overall fiscal responsibility is in particular affected
1.
in the decision after Article 13 (2) of the Treaty establishing the European Stability Mechanism, a contracting party to the European Stability Mechanism, at the request of the European Stability Mechanism, Stability Assistance in the form of a Treaty establishing the European Economic Community Financial assistance facility provided for stability mechanism,
2.
on the adoption of an agreement on the financial assistance facility referred to in Article 13 (3) sentence 3 of the Treaty establishing the European Stability Mechanism, consent to a corresponding Memorandum of Understanding under Article 13 (4) of the Treaty establishing the European Stability Mechanism and in the case of the Grant of financial assistance directly to financial institutions in the adoption of an institutional agreement,
3.
in the case of decisions taken within the framework of the European Stability mechanism to change the authorised capital stock and the maximum lending volume referred to in Article 10 (1) of the Treaty establishing the European Stability Mechanism; Article 2 (1) of the Law on the Treaty of 2. February 2012 on the establishment of the European Stability Mechanism remains unaffected,
4.
in the case of decisions taken under the European Stability Mechanism on the To define and modify the limits of the total resources available for a given financial assistance instrument.
(2) In cases concerning the overall fiscal responsibility, the Federal Government shall be entitled to: The proposal for a decision on matters of the European Stability Mechanism by its representative only agrees or abstain from decision-making after the plenary has adopted a decision approving it. Without such a decision by the plenary, the German representative must reject the proposal for a decision. The representative of the Federal Government has to participate in the decision-making process.(3) If, in accordance with Article 5 (6) (m) of the Treaty establishing the European Stability Mechanism, tasks of the Board of Governors are transferred to the Executive Board, § § 3 to 6 shall apply accordingly. Non-official table of contents

§ 5 Participation of the Committee on Budgets of the German Bundestag

(1) In all other cases, the budgetary responsibility of the The Committee on Budgets of the German Bundestag will be involved in matters relating to the European Stability Mechanism, which are in contact with the German Bundestag, in which a decision of the plenary is not provided for in accordance with § 4. The Committee on Budgets is monitoring the preparation and implementation of the agreements on stability assistance.(2) The prior approval of the Committee on Budgets shall require:
1.
Decisions on the provision of additional instruments without changing the overall financing volume of an existing financial assistance facility or substantial changes to the terms of the financial assistance facility,
2.
Decisions on the retrieval of capital in accordance with Article 9 (1) of the Treaty establishing the European Stability Mechanism and the adoption or substantial change of the Rules and conditions applicable to capital calls pursuant to Article 9 (4) of the Treaty establishing the European Stability Mechanism
3.
the adoption or a substantial change in the guidelines for the implementing procedures of each of the European Stability Mechanism in accordance with Articles 14 to 18 of the Treaty establishing the European Stability Mechanism, and in accordance with a decision taken in accordance with Article 19 of the Treaty establishing the European Stability Mechanism, the financial assistance instruments available, the pricing guidelines referred to in Article 20 (2) of the Treaty establishing the European Stability Mechanism, the guidelines for borrowing operations referred to in Article 21 (2) of the Treaty establishing the European Stability Mechanism, the guidelines for the investment policy referred to in Article 22 (1) of the Treaty establishing the European Stability mechanism, the guidelines for the dividend policy provided for in Article 23 (3) of the Treaty establishing the European Stability Mechanism and the rules on the establishment, management and use of other funds referred to in Article 24 (4) of the Treaty establishing the European Stability Mechanism,
4.
the detailed rules and conditions governing the capital changes referred to in Article 10 (2) of the Treaty establishing the European Stability Mechanism,
5.
the adoption of provisions or interpretations for the regulation of professional qualifications
the Federal Government may, incases, make a proposal for a decision on matters relating to the European Stability Mechanism by its Representatives only agree or abstain in a decision after the Committee on Budgets has adopted a decision approving it. The Federal Government may also make a corresponding request in the Committee on Budgets. Without such a decision by the Committee on Budgets, the German representative must reject the proposal for a decision. The representative of the Federal Government has to participate in the decision-making process.(3) In the cases not covered by paragraph 2, which affect the budgetary responsibility of the German Bundestag, the Federal Government shall take part in the Committee on Budgets and take its opinions into account. This shall apply, in particular, to decisions on the disbursing of individual tranches of the stability assistance granted.(4) The Governor and his deputy appointed by Germany pursuant to Article 5 (1) of the Treaty establishing the European Stability Mechanism shall be required, at the request of the Committee on Budgets of the German Bundestag, at least to provide information and information to a quarter of its members, which must be assisted by at least two political groups in the committee, in so far as it does not affect the facts referred to in Article 6 of this Law.(5) The plenary of the German Bundestag may, at any time, draw the powers of the Committee on Budgets by means of a decision taken by a simple majority and exercise it by simple decision.(6) A request or a presentation of the Federal Government shall be deemed to have been referred to the Committee on Budgets within the meaning of the Rules of Procedure of the Bundestag. Paragraph 70 of the Rules of Procedure shall apply accordingly, with the request of one-quarter of the members of the Committee on Budgets to be supported by at least two political groups in the committee. Non-official table of contents

§ 6 Participation by a special body

(1) Insofar as a purchase of government bonds on the secondary market is carried out in accordance with Article 18 of the Treaty establishing the European Stability Mechanism, the Federal Government may invoke the special confidentiality of the matter. The special confidentiality is provided, provided that the fact of deliberation or decision-making has to be kept secret in order not to thwart the success of the measure. The acceptance of the special confidentiality is to be justified by the Federal Government.(2) In this case, the participation rights referred to in § § 4 and 5 may be exercised by members of the Committee on Budgets, which are elected by the German Bundestag for the duration of a parliamentary term in secret ballot with the majority of the members of the German Bundestag (special committee). The number of Members and an equal number of alternates shall be the smallest possible, in which each political group shall be able to appoint at least one member, the majority of which shall be respected, and the composition of the plenary sitting. is reflected. The special body elected in accordance with Section 3 (3) of the Stabilisation Mechanism Act shall exercise the rights under this Act. An election according to sentences 1 and 2 takes place for the first time in the parliamentary term, in which no board can be elected in accordance with Section 3 (3) of the Stabilisation Mechanism Act after the expiry of the Stabilisation Mechanism Act.(3) The special body may immediately object to the adoption of the special confidentiality. In the event of the appeal, the plenary shall take the rights of participation referred to in § 5 and the Committee on Budgets as referred to in § 5.(4) The special body shall report to the German Bundestag on the content and outcome of its deliberations, as soon as the reasons for the special confidentiality are eliminated. Non-official table of contents

§ 7 Information by the federal government

(1) The Federal Government has the German Bundestag and the Bundesrat in To inform matters of this law in writing at the earliest possible date, as a rule, and as a rule in writing. It has given the German Bundestag the opportunity to give its opinion on matters concerning its competences and to take account of its opinions.(2) The Federal Government shall transmit to the German Bundestag all documents at its disposal for the exercise of the rights of participation of the German Bundestag. It shall also transmit these documents to the Federal Council.(3) The German Bundestag and the Bundesrat shall take into account the special protection requirements of current confidential negotiations by means of confidential treatment.(4) In the case of the stability assistance request of one of the parties to the European Stability Mechanism under Article 13 (1) of the Treaty establishing the European Stability Mechanism, the Federal Government shall forward to the German Bundestag and the Federal Council, within seven days of the submission of the application, an initial assessment of the content and scope of the aid requested. If the Federal Government intends to agree to the granting of stability assistance in accordance with Article 13 (2) of the Treaty establishing the European Stability Mechanism, it shall provide in good time a comprehensive assessment of the content and scope of the programme. the assistance requested and an opinion on the evaluation of the European Commission in accordance with Article 13 (1) of the Treaty establishing the European Stability Mechanism and an assessment of the financial consequences.(5) The Committee on Budgets of the German Bundestag is also regularly informed in writing about the financial management of the European Stability Mechanism within the meaning of Chapter 5 of the Treaty establishing the European Stability Mechanism . The Federal Government shall also submit to it the quarterly financial statements drawn up pursuant to Article 27 (2) of the Treaty establishing the European Stability Mechanism and the profit and loss account of the European Stability Mechanism.(6) The continuing information provided by the Federal Government shall also include information on the respective consideration of the opinions of the German Bundestag and of the Committee on Budgets of the German Bundestag on the basis of this law. Negotiations.(7) The information requirements referred to in paragraphs 1 to 6 may be limited to the members of the special body in cases of special confidentiality pursuant to § 6 (1), as long as the reasons for the special confidentiality exist. In the event of these reasons, the Federal Government shall immediately inform the Bundestag of the information provided to the German Bundestag.(8) The information on the information referred to in paragraph 5 shall also be provided to the Federal Council by the Federal Government. The Federal Government also provides information on the respective consideration of opinions of the Federal Council in matters of this law. In the cases referred to in paragraph 7, the Federal Council shall be informed if the reasons for the special confidentiality are no longer available.(9) The representatives of the European Stability Mechanism appointed by Germany or by the German Governor shall not be entitled to the obligation of confidentiality in relation to a request for information from the German Bundestag and its committees and members. appointed under Article 34 of the Treaty establishing the European Stability Mechanism.(10) The rights of the German Bundestag from the Act on the Cooperation of the Federal Government and the German Bundestag on matters of the European Union and the rights of the Bundesrat from the Act on the Cooperation of the Federal Government and the Federal Republic of Germany Countries in European Union affairs remain unaffected. Non-official table of contents

§ 8 Entry into force

This law enters into force on the day after the announcement.