SLOVAKIA REJECTS THE EFSF IN FIRST VOTE, Second Vote Expected Later This Week

slovakia decision efsf 2011

Photo: Simone Foxman for Business Insider

The Slovak Parliament rejected a first vote on expansion of the European Financial Stability Facility, the linchpin of the second Greek bailout and the mechanism that will be used to stand in the way of contagion spreading through the European banking sector.Slovakia is the final hurdle for EFSF approval, which has already occured among the remaining 16 countries of the eurozone.

The EFSF bill was tied to a confidence vote, and the rejection toppled the ruling coalition led by PM Iveta Radicova. Junior coalition party SaS said it was opposed to the EFSF in principle and abstained from the vote.

Now all eyes are on the opposition Smer party, who said it would confirm the EFSF once the ruling government fell. No word yet on when that vote will take place, though it will likely occur before the week is out.

A detailed guide to the political drama of the vote can be found here.

Live coverage of the vote appears below. The debate was also broadcast live (in Slovak) here.

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