The constitutional challenges of the Treaty Establishing the European Stability Mechanism

Priit Pahapill is a partner at Attorneys at law Borenius having expertise in syndicated lending, leveraged and acquisition finance, mezzanine finance, asset finance and project finance projects. He also advises clients on banking, securities and securities market regulations.

In parallel with European sovereign debt crisis, there has been a drive to reform the functioning of the eurozone. This has led to the creation, amongst other, of a bail-out mechanism of the European Financial Stability Facility (‘EFSF’) and creation of the European Stability Mechanism (‘ESM’), an international organisation which, if established, will provide financial assistance to members of the eurozone in financial difficulty.