Eurogroup sets June as deadline for eurozone reform package

BRUSSELS - Eurozone finance ministers met on Monday and set June as the deadline for agreeing on a package of eurozone reform measures.

The work on reform has been focused on the reform of the bloc's bailout fund European Stability Mechanism (ESM) and the completion of the Banking Union.

"Technical work is progressing well on Banking Union and on the further development of the ESM," said ESM Managing Director Klaus Regling at a press conference after the Eurogroup meeting.

"There is broad support to reinforce the role of the ESM in crisis management in the current institutional framework, while avoiding any duplication with the Commission," Eurogroup President Mario Centeno told the same conference.

Eurozone leaders are expected to approve the upgrade of the European Stability Mechanism into a European Monetary Fund at the end of June.

The ESM, as the backstop for the Single Resolution Fund, could become operational by the end of 2019, if right decisions be taken by June, according to Regling.

For the reform of Banking Union, as there is skepticism in a number of countries with regard to EDIS, Regling urged member states to set up European Deposit Insurance Scheme earlier.

"If we had had a common, credible deposit insurance scheme in the last few years, all our ESM and EFSF programs would have been smaller," he said.