Adopting A Regime That Enables The Possibility Of The Government Loans, Perform Other Operations Active Credit To Member States Of The Euro Area And Provide Personal Guarantees Of The State Operations Aimed At The Financing Of These States, In Âmb

Original Language Title: Aprova um regime que viabiliza a possibilidade do Governo conceder empréstimos, realizar outras operações de crédito activas a Estados-membros da zona euro e prestar garantias pessoais do Estado a operações que visem o financiamento desses Estados, no âmb

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Read the untranslated law here: http://app.parlamento.pt/webutils/docs/doc.pdf?path=6148523063446f764c3246795a5868774d546f334e7a67774c336470626d6c7561574e7059585270646d467a4c31684a4c33526c6548527663793977634777794d7931595353356b62324d3d&fich=ppl23-XI.doc&Inline=false

PRESIDENCY of the COUNCIL of MINISTERS draft law No. 23/XI/1st explanatory memorandum of economic and financial stability in the euro area has to be ensured, each Member State assume their responsibilities, both in terms of the development of sound internal policies, whether through participation in solidarity in European initiatives aimed at ensuring that stability. There is currently no European law a specific regulatory framework for the resolution of crisis situations which jeopardise the economic and financial stability in the euro area. To that extent, and in a context in which a Member State facing financial difficulties that do not allow the regular financing by financial markets, the other Member States shall have legal mechanisms that allow a rapid and coordinated action in order to comply with their obligations and ensure financial stability in the euro area. At the national level, the initiative for the strengthening of financial stability (IREF) that arose in the context of a coordinated response of the Member States of the European Union, as an instrument of government action to combat the effects of the international financial crisis and the difficulties expected response in an adverse economic environment. The IREF is an important instrument at the disposal of the Portuguese State and has been implemented in several mechanisms that allow you to contribute to the maintenance of the proper functioning of financial markets. At this point it is important to extend the subjective scope of the initiative allowing the Portuguese State can join the other Member States of the euro zone in the financing of Member States of the eurozone facing financial difficulties which jeopardize the stability of the single currency.

PRESIDENCY of the COUNCIL of MINISTERS draft law No. 23/XI/1st With the present law, can the Government grant loans and perform other operations active credit to Member States of the euro zone, as well as provide personal guarantees of the State operations aimed at the financing of these States, with the aim of ensuring the financial stability of the eurozone. The financing operations of the Portuguese State part are coordinated with the other eurozone members States and with the Community institutions, will not have concessional nature and shall be subject to adoption by the Member State financing of certain conditions, in order to take responsibility and encourage a return as quickly as possible the financing on the market. The Bank of Portugal had been heard and the Institute for management of the Treasury and Public credit. I. p. So: under d) of paragraph 1 of article 197 of the Constitution, the Government presents to the Assembly of the Republic the following Bill. Article 1 subject-matter 1-the Government can, through the Member of Government responsible for the area of finance, with the option of delegation, granting loans and perform other operations active credit to Member States of the Euro area and provide personal guarantees of the State operations aimed at the financing of these States within the framework of the initiative for the strengthening of financial stability. 2-conditions of the operations to be carried out pursuant to paragraph 1 are negotiated by the Member of Government responsible for the area of finance, with the option of delegation. Article 2 of the COUNCIL of MINISTERS PRESIDENCY proposal for law No. 23/XI/1st Aim this law aims to allow the Portuguese State join the coordinate initiatives of the Member States of the euro zone and other Community bodies to ensure economic and financial stability in the euro area. Article 3 budget Limits The operations provided for in article 1 shall enjoy the budgetary limits and funding allocated to the initiative for the strengthening of financial stability. Article 4 Nature of operations financial operations to be carried out within the framework of this law are non-concessional nature and are dependent on the commitment, on the part of the Member State to finance, to adopt measures that will allow a return, in the shortest time possible, the financing by the markets. Article 5 procedures Statement checked the high dependence of the funding of a eurozone Member State to ensure the political and financial stability of the euro area, by the Member of Government responsible for the area of finance, the procedure for granting loan or personal guarantee of the State the task of the Directorate-General of Treasury and Finance.

Article 6 supplementary Arrangements PRESIDENCY of the COUNCIL of MINISTERS draft law No. 23/XI/1st to personal guarantees by the State provided for in this law shall apply subsidiarily, mutatis mutandis and in this is not incompatible, the arrangements laid down in law No. 112/97, of 16 September. Article 7 Monitoring by the Assembly of the Republic 1-the Government shall inform the Assembly of the Republic, within one month, of justification, terms and conditions of the transactions carried out pursuant to this law. 2-every six months, the Government reports on the Assembly of the Republic the execution of operations carried out in accordance with this law. Article 8 entry into force this law shall enter into force on the day following your publication.

Seen and approved by the Council of Ministers of 29 April 2010 the Prime Minister the Minister of Parliamentary Affairs Minister Presidency