(21 September 2016) – The European Court of Justice has ruled that EU citizens can now sue the troika if they believe their fundamental rights have been violated by austerity.
Has the troika infringed EU citizens’ fundamental rights through its insistence on austerity measures in crisis-hit countries? It’s a question that seems set to be analysed in ever greater detail and may lead to claims being made against the European Central Bank, the International Monetary Fund and the European Commission, after the ECJ ruled that citizens are entitled to sue the troika.
The Luxembourg-based court’s decision was based on the banking crisis that hit Cyprus in 2013. At the time, the troika and the Cypriot government agreed to a restructuring, which involved uninsured deposits of over €100,000 being used to recapitalise the Bank of Cyprus. In return, the embattled country received a bailout from the European Stability Mechanism. (EurActiv)