Reform of the European Stability Mechanism

    View Author December 2020

    The European Stability Mechanism’s (ESM’s) aim is to provide financial assistance to EU member states experiencing or threatened by severe financial problems. Like its predecessor, the temporary European Financial Stability Facility (EFSF), the ESM provides financial assistance, which is granted only if it is proven necessary to safeguard the financial stability of the euro area as a whole and of the ESM members.