BRUSSELS, Oct 12 (KUNA) -- The European Stability Mechanism (ESM), the EU's permanent bailout fund, announced Thursday that it has appointed Jeroen Dijsselbloem, the current President of the Eurogroup, as it strategic advisor.
ESM Managing Director Klaus Regling said in a statement that Dijsselbloem "has been a key personality both in euro area policy making and in our own development as the permanent crisis prevention mechanism over the last five years."
"Following his departure as Dutch Finance Minister, Jeroen has agreed to provide us with his exceptional experience and insights. This contract is for a limited time but it coincides with an important moment for the ESM's future development," he added.
This arrangement will take effect the day Dijsselbloem leaves his position as Dutch finance minister, he noted.
According to Dutch media reports, Dijsselbloem is leaving politics and handing back his Labour party seat in the parliament.
The Labour party suffered its worst ever result at the Dutch elections last March, winning just nine seats, down from 38 last time.
Dijsselbloem will stay on as President of the Eurogroup until next January.
But he will stand down as Dutch finance minister on October 25, in the same week as the make-up of the new Dutch cabinet is due to be announced.
The ESM, based in Luxembourg, has the mandate to preserve financial stability in the euro area by providing financial assistance to Member States with severe financing problems. It is a permanent inter-governmental institution, operating since October 2012. (end)