Posted on 06/29/2012 10:48:56 PM PDT by bruinbirdman
As expected, more than two-thirds of the lawmakers in Germany's parliament moved on Friday to approve the permanent euro rescue fund, the European Stability Mechanism, and a fiscal pact long championed by Chancellor Angela Merkel. However, the treaties still face a review by the country's highest court before they can be ratified.
It's been a rough few years and a particularly long and stressful day for Angela Merkel. But, for now at least, Germany's chancellor can breathe a sigh of relief.
Late Friday evening, Germany lawmakers -- including politicians from two opposition parties -- approved two key pillars of her efforts to bring calm to the long-raging euro storm.
In the first vote, members of the Bundestag, Germany's federal parliament, approved the fiscal pact, which commits Germany to stricter budgetary rules, such as reducing its budget deficits to less than 0.5 percent of gross domestic product beginning in 2014. Lawmakers voted 491-111, with six abstentions, in favor of the pact, a pet project of Merkel's that was agreed on by 25 of the EU's 27 member states at a summit in January. Ireland became the first of these countries to ratify the pact in early June. A two-thirds majority, or 414 votes, was needed for the measure's passage because it involves an internationally binding commitment to limit Germany's deficit.
In the second ballot, lawmakers voted 493-106, with five abstentions, in favor of the European Stability Mechanism (ESM), the €700 billion ($890 billion) permanent bailout fund.
The Bundesrat, Germany's upper legislative chamber, which represents the interests of the states, is expected to approve both measures later in the evening.
A Day of Discord
The votes were held despite calls earlier in the day from politicians both inside and outside Merkel's center-right government to delay them until lawmakers had time to
(Excerpt) Read more at spiegel.de ...
“...reducing its budget deficits to less than 0.5 percent of gross domestic product beginning in 2014”—that’s miniscule by our standards!
Won’t solve one damn thing - just kicks the can down the road a bit in the forlorn hope that these socialist countries can actually become hard working, thrifty and productive.
Where is almost 1 trillion in real money going to come from and how will distributions be collateralized?
"Despite parliamentary approval of the ESM and the fiscal pact, it is not expected that the treaties will be ratified -- at least for a few weeks -- following a request by Germany's highest court to the country's president, Joachim Gauck, asking him not to sign them into law until it can complete a legal review.
At least 12,000 complaints are expected to be filed with the Federal Constitutional Court regarding the ESM and the fiscal pact. As a result of the legal complications, the ESM will not go into effect on July 1, as planned."
yitbos
from what I’ve read that will be a minor delay.
Sing along: Print.. Print to Prosperity
You are preaching to the choir here OH.
Everyone here knows this is another power grab
But, like every other news flash coming from Europe these days it is about some future event totally unsupported by actual accomplishments. This is also a description of socialism - a future utopia not supported by hard physical accomplishments.
Anyone want to take bets that we will see another such announcement in 90 to 120 days? That would make another stock market jump - the best since 19xx - occurring just in time for the November elections.
Past EU crisis solutions caused similar market euphoria in the past two years. It took a couple of months for reality to lower them. Less and less time lately. Down to a couple of days.
Watch Monday's indexes after the market has digested the latest non-solution over the wekend.
yitbos
yitbos
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