Saturday, June 23, 2012

"Spain confirms aid request to be made Monday"

Mo money.
From MarketWatch:
The Spanish Finance Minister Luis de Guindos confirmed on Friday that Spain will formally request aid for its banks on Monday. Speaking at a meeting of finance ministers in Luxembourg, de Guindos said that the conditions attached to the request, which will take place in a letter just two paragraphs long, would be ready by July 9. Late Thursday, an independent audit of Spain's banking sector concluded that, under a worse-case scenario, Spain could need as much as $80 billion to recapitalize its banks. 
HT: Economic Policy Journal who writes:
...It is important to note that the key problem remains that F PIIGS countries continue to spend much more money than they take in, which means they continue to run huge deficits, which means they will need bailout after bailout....