Arab Today, arab today spanish pm plays down bailout prospect this year
Last Updated : GMT 18:55:00
Arab Today, arab today
Arab Today, arab today

Spanish PM plays down bailout prospect this year

Arab Today, arab today

Arab Today, arab today Spanish PM plays down bailout prospect this year

Madrid - AFP

Spain\'s Prime Minister Mariano Rajoy on Tuesday all but ruled out seeking a bailout in 2012 but vowed to do so if faced by persistent, high borrowing costs. Rajoy has kept world markets on edge as he ponders whether to trigger a rescue, in which the European Central Bank would buy Spanish bonds to drive down Madrid\'s financing costs. But the conservative prime minister gave the clearest sign yet that he sees no reason to trigger a bailout this year. Spain had nearly completed the bond issues required to finance the government\'s operations throughout 2012, he said. \"For now we have covered practically the entirety of our issues through this year,\" Rajoy said. By October 23, Spain had already issued a gross 85.9 billion euros ($110 billion) in medium- and long-term bonds, equal to 95.1 percent of the entire 2012 budget target. \"If we see that during a long period Spain is financing itself at very high prices then we would have to ask for it,\" the prime minister conceded. But the crucial question, the Spanish leader said, would be whether any European Central Bank intervention significantly curbs the country\'s borrowing costs. Spanish borrowing costs have already tumbled since the ECB outlined plans in September to buy an unlimited amount of stricken states\' bonds if they submit to strict eurozone conditions first. Spanish 10-year bond yields, which spiked at a dangerous level of more than 7.0 percent in the mid-summer, were hovering in mid morning at an elevated but much lower level of nearly 5.8 percent. Investors were demanding an extra return -- also known as a risk premium -- of 433 basis points (4.33 percentage points) on Spanish bonds when compared to equivalent, safe-haven German debt. Rajoy said key question for Spain before it seeks assistance is whether ECB action would bring down the risk premium to 200 basis points or leave it at 400 basis points. The problem was not just the conditions to be attached to any formal eurozone bailout, nor securing the agreement of all European Union members, he said. It was also \"how much the risk premium will come down, because if it only serves for the premium to stay at 400 and not come down to 200 then obviously that\'s not the same thing,\" Rajoy said. The Spanish leader said his bailout decision would depend entirely on whether it was in the general interest of his country. \"It is a path that is open. I don\'t renounce using it if it is in the interests of Spain. For the moment we have not decided to adopt it but it is a possibility that we have open.\" Rajoy, who performed a U-turn on his pre-election promises by pushing up sales taxes to curb the public deficit, said he hopes to cut taxes in 2014 when the government anticipates a return to economic growth. \"I am not thinking about taking any decision to raise taxes, I hope it won\'t be necessary,\" he told Cope radio. \"I hope to be able to lower them and I hope to be able to do it in 2014.\" Rajoy said he would not cut public workers\' salaries next year, after freezing wages this year and also stripping them of their Christmas bonuses, worth almost one month\'s income.

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*

Arab Today, arab today spanish pm plays down bailout prospect this year Arab Today, arab today spanish pm plays down bailout prospect this year

 



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*

Arab Today, arab today spanish pm plays down bailout prospect this year Arab Today, arab today spanish pm plays down bailout prospect this year

 



Arab Today, arab today
Arab Today, arab today Designer Aql Faqih aspires to innovation

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation
Arab Today, arab today Barcelona through George Orwell’s eyes

GMT 13:44 2017 Friday ,20 October

Barcelona through George Orwell’s eyes
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Tillerson heads to Gulf, downbeat

GMT 09:23 2017 Friday ,20 October

Tillerson heads to Gulf, downbeat
Arab Today, arab today Hiring not part of Alibaba pledge

GMT 11:26 2017 Wednesday ,18 October

Hiring not part of Alibaba pledge
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today World's deepest lake in peril

GMT 15:54 2017 Friday ,20 October

World's deepest lake in peril
Arab Today, arab today Ex-French minister Dati wants tough action

GMT 10:54 2017 Thursday ,19 October

Ex-French minister Dati wants tough action
Arab Today, arab today Delhi braces for pollution 'airpocalypse'

GMT 16:07 2017 Friday ,20 October

Delhi braces for pollution 'airpocalypse'
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 Sweden to get biggest car factory

GMT 14:10 2017 Friday ,20 October

Sweden to get biggest car factory
Arab Today, arab today Mercedes says recalls 400,000 UK cars

GMT 06:56 2017 Tuesday ,17 October

Mercedes says recalls 400,000 UK cars
Arab Today, arab today Actress Shery Adel happy for Egypt’s qualification

GMT 08:57 2017 Wednesday ,18 October

Actress Shery Adel happy for Egypt’s qualification
Arab Today, arab today Massacre fears spark race

GMT 19:09 2017 Thursday ,19 October

Massacre fears spark race

GMT 07:47 2017 Tuesday ,17 October

Hussein Fahmy happy for honoring in festival

GMT 18:15 2017 Monday ,16 October

British actress becomes fifth woman

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam

GMT 16:00 2017 Wednesday ,18 October

Climate-disrupting volcanoes helped topple

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 06:43 2017 Wednesday ,18 October

Fake dentists ply brisk trade

GMT 06:49 2017 Tuesday ,17 October

EasyJet, Lufthansa among seven to bid

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 20:46 2017 Thursday ,19 October

Qualcomm files lawsuits in China to ban iPhones

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha
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