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.