Nov. 30 (Bloomberg) -- Managing Director Charles Dallara said the Institute of International Finance welcomes euro-area finance ministers’ approval late yesterday of measures to boost the firepower of the region’s temporary bailout fund, the European Financial Stability Facility.
“These decisions have clearly enhanced the capacity and flexibility of the EFSF to support euro-area member countries for putting in place measures to strengthen market confidence,” Dallara said by telephone today.
“They represent both important political and technical steps in the direction of deepening economic and fiscal integration in the euro area that would address the current sovereign debt difficulties,” he said.
The EFSF can now issue short-term bills and use government bonds it purchases on secondary markets in repurchase transactions, Dallara said.
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