Columbia International Affairs Online: Policy Briefs

CIAO DATE: 09/2011

Partial sovereign bond insurance by the eurozone: A more efficient alternative to blue (Euro-)bonds

Hans-Joachim Dübel

August 2011

Centre for European Policy Studies

Abstract

‘Blue’ or Eurobonds guaranteed via joint and several liability by the eurozone member states have been proposed as an important tool to stabilise and structure the eurozone sovereign bond markets. But in this new Policy Brief, Hans-Joachim Dübel argues the case for a partial insurance of sovereign bonds by the European Stability Mechanism. Hans-Joachim Dübel is an independent financial sector consultant based in Berlin and founder of Finpolconsult.