Lithuania to make first payment into ESM

Lithuania is to contribute a total of 327.2 million euros to the eurozone’s permanent bailout fund over five years and to make a further payment of 159.4 million euros after 2027, when the 12-year temporary correction applied to it as a country with a GDP per capita of less than 75 percent of the EU average, ends.

Finance Minister Rimantas Šadžius said a week ago that the first payment had to be made by mid-February. The minister said that this had to be treated as an investment in financial capital rather than an expense.

The ESM was founded in October 2012 as a permanent crisis resolution mechanism for the eurozone’s member states in financial difficulty, with a maximum lending capacity of 500 billion euros.

Lithuania on 1 January 2015 replaced its national currency, the litas, with the euro to become the 19th member of the eurozone.

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