- Statement by the Eurogroup
Eurozone finance ministers formally approved an agreement to loan up 100 billion euros to Spain for banks recapitalization in order to avoid a full sovereign bailout for the country.
Spanish government is expecting a first installment of 30 billion euros being available immediately for state-rescue banks. The bank rescue requires fresh austerity measures from Spain, accounting for 65 billion euros of spending cuts and tax hikes.
"The Eurogroup is convinced that the reforms attached to this financial agreement will contribute to ensuring a return of all parts of the Spanish banking sector to soundness and stability," stated in the Eurogroup's statement.
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