|Mallet, Victor, Spiegel, Peter
Spain made its most explicit call to date for European institutions to recapitalise the country’s banks on the 5 June 2012 as concerns increase about its own ability to raise the billions of euros needed on bond markets.
Mariano Rajoy, Spain’s prime minister, warned that the country was in a situation of 'extreme difficulty'.
He urged Europe to prove that the euro was 'irreversible' by agreeing a banking union and embracing eurozone bonds.
Germany remained opposed to allowing Spain’s banks to be bailed out without a formal request from the Spanish government.
The debate over how to respond to Spain’s growing problems rekindled fears outside the eurozone over the speed of its crisis response.
|Economic and Financial Affairs
|Countries / Regions