Re: Re: How long to a full bailout

#112569
DBMarcos99
Participant

@Igurisu wrote:

According to Sr de Guindos, Spain does not need a bailout, all breath a big sigh of relief 🙂

http://www.bbc.co.uk/news/business-19837739

Yes, that report is similar to this one
http://www.bloomberg.com/news/2012-10-04/spain-says-it-s-meeting-rescue-rules-already-as-guindos-heckled.html

de Guindos tried to put across the message that Spain is actually rising to difficult challenges in the corporate area, particularly in exports “Spanish exports have increased by 70% since 2001…the same as Germany”. But of course this message gets ignored and isn’t reported when he makes the claim that no bail out is needed.
In a very small sense he’s right, in that Spain is already 90% pre-funded for this year, and could stagger on its reserves for a couple of months if absolutely necessary. But everyone knows that if the cost of borrowing shoots up again, then they will be ultimately reliant on ECB credit.