On 27 January 2021, the Council of the EU announced that representatives from Member States had signed the amending agreements to the Treaty on the European Stability Mechanism (ESM) and the Single Resolution Fund (SRF) Intergovernmental Agreement. This signature launches the ratification procedures in the Member States, in accordance with their national constitutional requirements.
The signature of the amending agreements follows political agreement on the ESM reform package which includes the ESM providing a common backstop to the SRF by means of a credit line as of the beginning of 2022, two years ahead of schedule. The ESM Treaty reform will expand the ESM’s mandate with new tasks and responsibilities. In particular, it will be equipped with a more accessible precautionary credit line and have a stronger role in financial assistance programmes and crisis prevention.