Mr. Feargal Ó Brolcháin:

No. This instrument is part of a broader framework to separate banks and sovereigns. This is one element to provide for direct recapitalisation where a member state is unable to provide for that recapitalisation owing to financial pressure.

The aim is to deal with the issues that would arise if a member state's inability to provide for recapitalisation was likely to cause problems or contagion. The aim is not to obviate it in every case. Some member states might prefer to engage in their own recapitalisation, rather than having the ESM take ownership of the bank in question.