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ESM Financial Assistance vs. Eurobonds – A Dilemma and the Pandemic Crisis Support

On April 9, 2020, after intense and lengthy discussions, the EU finance ministers reached a comprehensive economic policy response to the COVID-19 pandemic. The President of the Eurogroup, Mario Centeno, stated: "Today, we...more

European Central Bank launches Emergency Bond-Buying Programme as a Response to the Coronavirus Pandemic

The European Central Bank has launched a EUR 750 billion bond purchase programme designed to mitigate the enormous economic and financial risks to the Eurozone caused by the coronavirus pandemic. The creation of the "Pandemic...more

Coronavirus Aid for Companies in Difficulties – Unprecedented Response from KfW, German government and EU Commission

Last Friday, in response to the outbreak of the coronavirus pandemic (COVID-19), the German government announced various measures described as a big "bazooka" to avert a crisis in the Eurozone's largest economy. The German...more

The sovereign-bank nexus – Holistic solution needed to end a vicious cycle

Since the financial crisis of 2008, numerous emerging and developed countries experienced a substantial increase to their government gross debt-to-GDP ratio (sovereign debt). In addition, there were significant increases in...more

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