spain to seek first bailout for ailing banks
Last Updated : GMT 06:27:14
Arab Today, arab today
Arab Today, arab today

Spain to seek first bailout for ailing banks

Arab Today, arab today

Arab Today, arab today Spain to seek first bailout for ailing banks

Madrid - AFP

Spain’s government said Friday it would soon request a first payment for its deeply troubled banks from an emergency eurozone rescue line. “The request will be sent shortly,” a spokeswoman for the Economy Ministry told AFP. “It is being worked on,” she said, declining, however, to specify the timing or exact amount of the request. The money was being sought for crisis-torn Spanish banks that have already been nationalized, she said: Bankia, Catalunya Caixa, NovaGalicia Banco and Banco de Valencia. “The Bank of Spain has to ask that the funds be made available to it and that is the request that will be sent,” the spokeswoman said. “The Bank of Spain is doing its analysis and that report is for the nationalized banks, so depending on that analysis they will see what request they need to make,” she said. Spain’s eurozone partners agreed in June to lend up to 100 billion euros ($124 billion) to salvage the nation’s banks, buckling under record bad loans built up since a 2008 property crash. The eurozone’s bailout fund, the European Financial Stability Facility, has already put aside an emergency reserve of 30 billion euros in case of urgent requests by Spain, a spokeswoman for the fund said. Under a written agreement drawn up last month, the Bank of Spain can ask for a specific sum from that emergency reserve. But any payment first needs the approval of the European Commission and officials of the 17-nation eurozone working in liaison with the European Central Bank. The bulk of the rescue loan is expected to be disbursed from November onward to help finance a restructuring and recapitalization of the Spanish banking sector. Spanish lenders’ bad loans leapt to a record high level in June, latest figures showed Friday. The value of doubtful loans jumped to 164.36 billion euros in June, equal to an unprecedented 9.42 of the banks’ total loan portfolio, the Bank of Spain said. Up sharply from a share of 8.96 percent of total loans in May, it was the highest bad loan ratio recorded since the central bank began compiling the data. As Spain awaits the first payment for its banks, the nation’s troubles seem to be mounting. The economy is in a recession, which the government expects to drag on through 2013, and the unemployment rate is near 25 percent – the highest in the industrialized world. At the same time, Madrid is slashing spending and raising taxes in a battle to rein in its bulging public deficit. Despite those efforts, Spain’s finances are under rising pressure as wary investors demand painfully high interest rates to lend to the country by buying its sovereign bonds. The yield offered on Spanish 10-year government bonds was about 6.45 percent on the debt market Friday. Although that is sharply down from levels of more than 7 percent in previous weeks, the rate is still considered too high for the Spanish government to afford over the longer term.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

spain to seek first bailout for ailing banks spain to seek first bailout for ailing banks

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

spain to seek first bailout for ailing banks spain to seek first bailout for ailing banks

 



Arab Today, arab today
Arab Today, arab today Jordanian woman reveals her project

GMT 00:46 2017 Saturday ,11 November

Jordanian woman reveals her project
Arab Today, arab today PNG police start removing refugees

GMT 03:00 2017 Friday ,24 November

PNG police start removing refugees
Arab Today, arab today Sophian Yussef reveals suitable decoration

GMT 02:56 2017 Thursday ,23 November

Sophian Yussef reveals suitable decoration
Arab Today, arab today Syria congress to go ahead

GMT 02:24 2017 Friday ,24 November

Syria congress to go ahead
Arab Today, arab today IS media offline for a day

GMT 02:10 2017 Friday ,24 November

IS media offline for a day
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Human form of 'mad cow' disease

GMT 00:11 2017 Friday ,24 November

Human form of 'mad cow' disease
Arab Today, arab today British woman jailed in Iran to appear

GMT 03:19 2017 Friday ,24 November

British woman jailed in Iran to appear
Arab Today, arab today Delhi half-marathon to go ahead

GMT 03:51 2017 Saturday ,18 November

Delhi half-marathon to go ahead
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Mitsubishi Materials units falsified product

GMT 03:24 2017 Friday ,24 November

Mitsubishi Materials units falsified product
Arab Today, arab today 'Robo-taxis' hold promise, and perils

GMT 08:07 2017 Thursday ,23 November

'Robo-taxis' hold promise, and perils
Arab Today, arab today Abeer Sabry reveals reason of “The Flood” success

GMT 08:03 2017 Tuesday ,21 November

Abeer Sabry reveals reason of “The Flood” success
Arab Today, arab today paObama climate envoy slams Trump's rejection

GMT 16:04 2017 Friday ,17 November

paObama climate envoy slams Trump's rejection

GMT 07:56 2017 Monday ,20 November

Singer Jahda Wahba has unlimited ambitions

GMT 08:03 2017 Thursday ,23 November

Srebrenica women cry tears of joy

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation

GMT 11:38 2017 Wednesday ,15 November

Unloved vultures fight for their survival

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts

GMT 10:43 2017 Wednesday ,22 November

Cigar-shaped asteroid came

GMT 10:47 2017 Wednesday ,22 November

The Big Apple bike boom

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday