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    Austria urges early permanent eurozone safety net

    VIENNA (AP) — Austria's central banker is urging eurozone nations to set up a planned permanent financial safety net as soon as possible.

    Ewald Nowotny says the European Stability Mechanism is needed to allow countries using the euro to make the financial adjustments needed to function smoothly as the eurozone.

    Nowotny, who is also on the board of the European Central Bank, said Monday that eurozone nations have to be looked at as if they were companies in financial trouble.

    He says the banking system needs risk-free assets "and it's our role to offer these."

    The European Stability Mechanism is slated to start functioning in 2013 and will build on the European Financial Stability Facility now in force.

    It is meant in part as an early warning system to prevent future financial crises.

     

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