Spanish Prime Minister issues warning over borrowing costs

LAST UPDATED: 24 May, 2012 @ 10:11
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Spanish Prime Minister issues warning over borrowing costs

SPAIN’S Prime Minister has warned the country cannot continue with such high borrowing rates.

Mariano Rajoy also urged fellow European leaders to form a joint plan to stop the region’s debt problems getting worse.

“Europe has to come up with an answer. It is a must, because we cannot go on like this for a long time, with large differences when it comes to financing ourselves,” he said.

“It is because of these differences that the policies that we Europeans believe in, such as controlling government spending and reforms to encourage growth, ultimately have no effect.

“So I am going to talk about liquidity, financing and debt sustainability. For me it is the most important thing today.”

Rajoy suggested the European Central Bank should take action to lower countries’ borrowing rates, such as buying the bonds of weaker countries.

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  1. what does he want the (cheap) money for ?

    Airports (with no planes)
    More Audis for Government employees ?
    More funtastic buildings – to crumble mañana ?
    More tax gifts to amigos and football clubs ?
    More badly build roads – to crumble mañana ?
    More illegal infrastructure, buildings etc. etc. etc.
    or bottom line more suit suits for amigos ?

    Spain has to STOP trying to be a developed industrial nation – anybody who lives here knows Spain is a third world country with great people, food, nature and a way of live …… for some incomprehensible reason they want to convert into Hans & Franz and give all that up. Maybe its the white socks in sandals that makes them jealous ?

    Cheap money is exactly the main reason Spain is in trouble today ……

  2. Senor Rajoy wants to stop making life difficult for people who bring and spend money in the country i.e. EU pensioners, he seems to miss the point that their pensions are paid for by their country of origin, in the case of the UK an annual sum of 3500 euros is transferred to Spain to cover health care and all his new regulations seem to be designed to drive people out of the country. I can see some lawyers making a packet out of taking the Spanish government to the EU courts.

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