25th November 2011
The key to the revamped fund is leverage. But in order to persuade investors to take up the EFSF debt, the fund may have to offer significant sweeteners and that cuts down the leverage. So rather than magically turning euro 250bn into more than a trillion euros to help fire fight the crisis, it may struggle to reach three or even two times that.
Eurozone officials have told the FT, the fund is "falling well short of its billing".