European Stability Mechanism (Amendment) Act 2014

1.. Interpretation

1.(1) In this Act—

“Board of Governors” means the Board of Governors referred to in Article 4;

“ESM” means the international financial institution established as the European Stability Mechanism by Article 1;

“ESM Member” means a state that is a member of the ESM;

“Principal Act” means the European Stability Mechanism Act 2012;

F1[“Treaty" has the meaning given to it by section 1 (amended by section 3 (a) of the Finance (European Stability Mechanism and Single Resolution Fund) Act 2021) of the Principal Act.]

(2) A reference in this Act to a numbered Article is a reference to the Article so numbered of the Treaty.

2.. Amendment of definition of “Treaty” in Principal Act

2.(1) Section 1 of the Principal Act is amended by substituting the following for the definition of “Treaty” —

“ ‘Treaty’ means the Treaty establishing the European Stability Mechanism done at Brussels on 2 February 2012 between the Euro Area Member States of the European Union as adapted in consequence of the accession of the Republic of Latvia to it on 13 March 2014, the text of which (including the Annexes and in both of the official languages), is set out, as provided by section 2(2) of the European Stability Mechanism (Amendment) Act 2014, in the Schedule to that Act;”.

(2) The text (including the Annexes) of the Treaty, that is to say the Treaty referred to in section 1, as it stands amended by subsection (1), of the Principal Act, is set out in—

(a) Part 1 of the Schedule in the Irish language, and

(b) Part 2 of the Schedule in the English language.

(3) The Schedule to the Principal Act is repealed.

3.. Provision with respect to particular type of instrument and particular entities

3. The legal incidents and effects that the provisions of the Treaty and the Principal Act comprise shall include the legal incidents and effects arising by virtue or in consequence of—

(a) the granting of an instrument of the class specified in section 4, and

(b) the establishment of subsidiary bodies or sub-entities by the ESM the purpose of which is to finance or implement, or to have vested in them ownership of, the capital instruments related to the recapitalisation referred to in section 4.

4.. Class of instrument to which section 3 relates

4. The class of instrument referred to in section 3 is an instrument that effects the direct recapitalisation of a financial institution of an ESM member, being an instrument added to the list of financial instruments provided for in Articles 14 to 18 by a decision made by the Board of Governors under Article 19.

5.. Application of sections 5, 6 and 7 of Principal Act

5. Sections 5, 6 and 7 of the Principal Act shall apply to the ESM acting through a subsidiary body or sub-entity referred to in section 3(b) as they apply to the ESM otherwise.

6.. Short title, collective citation and construction

6.(1) This Act may be cited as the European Stability Mechanism (Amendment) Act 2014.

(2) The European Stability Mechanism Act 2012 and this Act may be cited together as the European Stability Mechanism Acts 2012 and 2014 and shall be read together as one.