EU leaders & German parliament approves EU bailout fund Germany’s Parliament finally approves a permanent euro zone bailout scheme. A new budget rules drawn up by German Chancellor Angela Merkel. Both the bills were ratified by Germany’s lower house Bundestag and upper house Bundesrat with the required two third majority.With the ratification of the European Stability Mechanism and “fiscal pact” also called fiscal compact for budget discipline, Germany clarified its intentions to stand by the euro.The 500 billion euro fund ESM will be used to bailout the faltering economies of Italy and Spain. European leaders have agreed to allow the use of rescue funds to recapitalize ailing banks directly. European Council President Herman Van Rompuy told reporters about the agreement on Friday following overnight meetings at the EU summit in Br...
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