Reforming the ESM – Implications for European Financial Stability and Resilience

IIEA10th February 20212min
Klaus Regling examines the implications of reforms to the ESM for financial stability and resilience in Europe.


In November 2020, the Eurogroup agreed to proceed with the reform of the European Stability Mechanism (ESM) treaty. This will allow the ESM to act as a backstop to the Single Resolution Fund (SRF) and enhance its role in financial assistance programmes and its crisis prevention and resolution capabilities. In his address to the IIEA, Klaus Regling examines the implications of these timely developments for financial stability in Europe, and assesses their potential to make the euro area more resilient and better prepared for future crises.

About the Speaker:

Klaus Regling is the current and first Managing Director of the European Stability Mechanism (ESM). He is also the CEO of the European Financial Stability Facility (EFSF), a position he has held since the creation of the EFSF in June 2010. Klaus Regling has worked for over 40 years as an economist in senior positions in the public and the private sector in Europe, Asia, and the U.S. From 2001 to 2008, he was Director General for Economic and Financial Affairs of the European Commission.