The Debt Transfer Game; Slovakia Needs EUR 264M for ESM

Slovakia has less than 10 days left to find the EUR 264 million as the first two payments to the the European Stability Mechanism, the EU bailout system.

Bratislava Castle (c) The

Ironic as it is, Slovakia will have to put itself in debt in order to cover its commitment to the EUR 700 billion ESM, which has been set up to deal with debts of countries in trouble, but can now also be used to bail out banks.

The government plans to issue government bonds to raise the required finances at a time when it is also trying to reduce the public finance deficit by introducing a whole series of new taxes and levies.



  1. This whole thing is crazy. Country’s in dept must pay HIGHER intrest rates on loans, while there intrest rates should be LOWER to prevent them from going further into dept. Charging higer intrest rates will result in their bankruptcy and we well never get one penny back. Just ask my 15 year old son…

    Europe will do exactly what started these problems in the beginning. Just like American banks, they are going to invest in bad loans. Politicians (democraticly chosen) are lying and WE are going to pay. VAT in Holland has risen from 19 to 21% in October. From 19 to 21 is a 10,5% raise!! People will start spending less and unemployment will rise.

    We should stop this crazyness and start thinking about our children.
    Iveta Radicová had the key and she turned it in the wrong direction.

  2. […] pay into the European Stability Fund – due this week.  TheDaily.Sk is rightly pointing out the irony of Slovakia being forced to go further into debt in order to pay into a debt relief […]

  3. Bonds issue – we are on the slippery slope! Anyone know what the take up will be?

  4. Believe me or not, this (ESM and current course of EU) might end up very bad.

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