IT'S OFFICIAL: Slovakia Has A Deal On The EFSF

slovakia decision efsf 2011

Photo: Simone Foxman for Business Insider

UPDATE: Now Bloomberg is confirming that opposition party leader Robert Fico told reporters that his party had reached a deal with the failed coalition government of PM Iveta Radicova to pass the European Financial Stability Facility.The EFSF looks like a go.

First reports of a deal came from Slovak television station TA3.

Reuters is reporting that the opposition leader Robert Fico will announce a new election, and that Radicova will remain prime minister until then.

Fico also said that a new vote will take place on Friday, October 14, at the latest.

Despite the media hubbub, passage of the EFSF plan has been all but assured in Slovakia.

A first vote on the plan was tied to a confidence vote for the ruling coalition, which failed yesterday afternoon. Even at that point, however, the opposition party had indicated that it would vote for the EFSF plan once the government agreed to dissolve or restructure.

Slovakia will become the last eurozone country to approve the plan. The EFSF will be the primary instrument used to stem the spread of contagion from Greece. Worries now are centered around European banks, which have struggled to find funding in the troubled eurozone economy.

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