Italian Prime Minister Mario Monti said on Wednesday that the permanent eurozone bailout fund would be granted a banking licence, which would boost its ability to fight the debt crisis, DPA reported.
"I think this will help. I think this will in due course happen," Monti said when asked at a news conference with Finnish Prime Minister Jyrki Katainen whether the European Stability Mechanism (ESM) should be given a banking licence.
The move would allow the ESM to borrow from the European Central Bank, enabling it to better deal with the crisis.
Italy's high borrowing costs have raised fears that the bloc's third-largest economy will be forced to seek a sovereign bailout.