Eurozone bolsters EFSF’s lending capacity

euro in black light

Eurozone leaders have approved measures to boost the capacity of the European Financial Stability Facility (EFSF), enabling it to leverage €250 billion ($337 billion) in funds.

After lengthy discussions in Brussels on Tuesday, eurozone finance ministers agreed to extend the EFSF's capacity by introducing two new tools – a partial risk protection and a co-investment fund. Existing guidelines have also been amended to enable the bail-out vehicle to intervene in the primary and secondary debt

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